Articles

Difference Between Digital Signature and Electronic Signature

A complete guide on the difference between Digital Signature and Electronic Signature

Introduction

The terms electronic signature and digital signature are frequently used together, but they are two different things. When learning about online signatures for the first time, it’s simple to become confused by the number of options available. The terms “digital signature” and “electronic signature” are frequently used. Here is an explanation of the difference between a digital signature and an electronic signature.

What is an Electronic signature?

The convenience of usage of electronic signatures makes them trendy. Customers can sign documents online with a click of a mouse or by tracing a handwritten signature using their fingers, Although it is a fact that the Digital signatures have more secure coding than electronic signatures have.

 

The signature is connected to the signer’s identification with the date and time. It is essentially an image that is placed on the document. However they cannot detect alteration with the document after it has been signed. Another issue with electronic signatures is that many companies want you to check back with them to see if your document has been altered, which means if you want to switch to a new vendor, you are at risk of losing those signatures that are kept on the server of the current vendor.

What is a Digital Signature?

Digital Signature is a type of Electronic Signature which is also considered as more secure signature in comparison to electronic signature.” When you put your digital signature on a document, it creates a connection between your identity and the fingerprint on your document.  After you sign the document, that information is permanently embedded into it, and the document will indicate if someone tries to tamper with it.

 

When a digital signature is used on a particular piece of writing, it is linked to the signed data in a single, unique fingerprint. The following tasks are performed with the help of cryptographic operation:

  1. Indicating the document’s validity and the source.
  2. Ensuring that the document was not altered after being signed.
  3. Confirming the signer’s identity.

Features

Digital Signature

Electronic Signature

Purpose

Used to secure the document

Used to verify the document

Regulations and involvement of outside parties

Certification authorities grant permission and regulate a digital signature.

Usually, it is not regulated

Utilization of cryptographic algorithms

Cryptographic algorithms are used in the generation of digital signatures.

Somewhat less protected There are no cryptographic algorithms used.

Verification

Verifying a digital signature is possible. To verify it a person must provide all the required documents.

It can’t be verified.

Benefits

Preferable to an electronic signature due to its higher level of authenticity.

Simple to use but, the level of customer satisfaction is less.

The signer’s motive

The security of the document is of particular concern to the signer.

The signer declared his or her intent to accept the terms and conditions of the contract by signing.

An evident mark

A document that has been signed with a digital certificate has the fingerprint of the signature.

A password, pin code, or any other form of expressed consent is also considered as an electronic signature.

Conclusion

Digital and Electronic signatures are different in their ways. Ebizfiling has trying to provide a concise description of the categories while highlighting their primary differences. The technologies and procedures you need to implement depend on the types of signatures an organization needs to collect.

Team Ebizfiling

Ebizfiling.com is a leading online platform offering end-to-end business compliance solutions for startups, SMEs, and global companies. With a presence across India and international markets including the USA, UK, and Singapore, the company specializes in company/LLP incorporation, ITR and GST filings, legal advisory, and foreign subsidiary formation. Backed by experienced professionals including CAs, CSs, and legal experts, Ebizfiling delivers accurate, timely, and regulation-compliant services trusted by thousands of businesses. The platform aims to simplify complex compliance processes through technology, personalized support, and a deep understanding of Indian and global regulatory frameworks.

Leave a Comment

Recent Posts

80G & 12A Registration Rules in India: What NGOs Must Know?

80G & 12A Registration Rules in India Introduction In India, non-profit organisations can register under 12A to get income tax…

2 days ago

What if You Don’t File LLP Returns for 3 Years?

What if You Don't File LLP Returns for 3 Years? Introduction LLP annual filing in India may seem like a…

3 days ago

LLC Formation Costs in the US for Indian Entrepreneurs

Realistic LLC Formation Costs in the US for Indian Entrepreneurs  Introduction Starting an LLC in the US as an Indian…

3 days ago

LLC Compliance Mistakes Indian Entrepreneurs Make in USA

LLC Annual Compliance: Mistakes Indian Entrepreneurs Commonly Make in the US  Introduction Starting an LLC and registering it with the…

3 days ago

LLC Benefits in the US for Indian Companies | Ebizfiling

LLC Benefits in the US That Indian Companies Often Overlook Introduction Starting a business in the United States is a…

3 days ago

Compliance Calendar August 2025

Compliance Calendar for the Month of August 2025  As we step into August 2025, it’s important for businesses, professionals, and…

4 days ago