Digital identity is defined as an extension of people’s identity information to prove who they are in different digital environments. A digital identity is an electronic way of identifying people.
Digital identity refers to a broader virtual representation consisting of a combination of various identities belonging to individuals and institutions.
It is the electronically modeled version of any attribute information associated with an entity during and after its lifetime. In order to transact on online platforms, individuals must first prove their identity. Digital identity is also used to prove that the person making the transaction is a real person. Given the risks of fraud or money laundering on online platforms, security measures need to be even tighter. Among these security measures, digital identity and digital identity verification steps must be taken into account and the procedures must be implemented step by step.
Digital Authentication
Authentication is the verification process in which people who want to use some services prove that they are the person they claim to be. It is possible to use different tools for authentication. Authentication to ensure that people are who they claim to be; required to open a bank account, apply for a loan or perform other financial transactions. Authentication is an important security step and helps prevent fraud.
Thanks to the developing technology, digital identity verification is now possible. Digital authentication verifies whether the person is who they claim to be by matching the submitted information with the verified information. Biometric verification, facial recognition, electronic signature and identity document verification are some of the methods of digital identity verification. With these methods, people can be authenticated online.
Creating a Digital Identity
A digital ID, for example a fake profile linked to the device’s IP address, is part of the digital ID. Digital identities are viewed as contextual in nature, as a user provides selective information while providing authentication information.
Examples of data points that can help create a digital identity include:
- Username and password
- Purchase behavior or history
- Date of birth
- Social Security number
- Online search activities such as electronic transactions
- medical history
A profile often includes characteristics of a person’s true identity. Thus, digital identities come with privacy and security risks, including identity theft. Fake profiles can also reveal the identity of an individual through cross-site data analysis. Passports and licenses users are defined in real life. The inclusion of such personally identifiable information online may pose more risks than benefits to the user. Several authentication and authorization systems have been explored. However, there is still no standardized and verified system for identifying digital identities.
