Digital Identity

Regulation (EU) 2024/1183 — the amendment to the eIDAS Regulation — requires each EU member state to provide a Digital Identity Wallet to any citizen or resident who wants one. The EUDI Wallet allows individuals to store and share verified identity attributes — name, date of birth, address, tax identifier — issued by government authorities. For CASPs, the Wallet provides a mechanism for electronic identity verification that satisfies AML/KYC identity checks without requiring the customer to submit paper documents.

The eIDAS 2.0 Regulation is built on the concept of selective disclosure: users share only the attributes needed for a specific transaction — a CASP requesting identity verification receives only the required fields, not the entire identity credential. This design protects user privacy while providing the CASP with a legally recognised, member-state-issued identity attestation that satisfies regulatory KYC requirements.

The EUDI Wallet reference framework — the technical specification for interoperable wallets across member states — is targeted for Q3 2026. Obliged entities under the AML framework, including CASPs, are expected to accept EUDI Wallet identity attestations as a valid electronic identification method for onboarding. This intersects with MiCAR CASP obligations, AMLA supervisory expectations, and the forthcoming AML Regulation requirements on remote customer identification.