As technology continues to reshape the way we conduct business and transactions online, the traditional handwritten signature is proving inadequate due to its vulnerability to forgery and tampering. To ensure unique and robust protection for online transactions and contracts, the adoption of electronic signatures is gaining prominence. Digital signatures, created and verified using Public Key Infrastructure (PKI) technology, employ a combination of public and private keys for encryption and decryption, making them highly secure.
Cryptography forms the foundation of digital signatures. Trusted third-party Certificate Authorities (CAs) like DocuSign or GlobalSign issue three types of Digital Signature Certificates (DSCs) – Type I, Type II, and Type III – each offering different security levels. Class 1 DSCs provide a basic level of security, suitable for low-risk environments, while Class 2 DSCs authenticate signers’ identities against a pre-verified database, ideal for e-filing tax documents. Class 3 DSCs, the highest level, require in-person verification for critical transactions in high-threat environments.
In the legal realm, digital signatures find solid footing under the Information Technology Act 2000, allowing authentication of electronic records using an asymmetric crypto system and hash function. Embracing PKI and Pretty Good Privacy (PGP) encryption programs enhances the security of digital signatures, as they validate the sender’s identity and mitigate potential security risks when transmitting public keys.
Digital signatures boast several security features, such as asymmetric cryptography, checksums, CRC, CA validation, and TSP validation. However, a key-only attack, a chosen-message attack, or a known-message attack are all potential attacks to watch out for.
Given the importance of security, various e-signature tools and technologies are available, offering streamlined digital signature processes. Adobe Acrobat Sign, DocuSign standards-based services, Dropbox Sign, GlobalSign, PandaDoc, ReadySign, Signeasy, and SignNow are prominent players in this market.
As digital transformation continues to reshape various industries, the acceptance and recognition of digital signatures in legal documents represent a significant step towards a more secure and efficient future.