Cross-Border Digital Identity and E-Signing in the Baltic States: A Practical Guide for SMEs

Overview of National Digital Identity Systems

Each Baltic country has its own national eID scheme comprising government-issued ID-cards and complementary mobile or app-based digital identities. All three countries as  the EU members align with the eIDAS regulation, meaning their eIDs and trust services meet European standards for security and cross-border recognition. Below we summarize the digital identity infrastructure in Estonia, Latvia, and Lithuania:

Estonia: ID-Card, Mobile-ID, and Smart-ID

Estonia is often seen as a pioneer in digital identity. Its mandatory chipped ID-card (ID-kaart) has been issued since 2002 and is used not only as official ID but for secure online authentication and qualified electronic signatures. Every Estonian resident holds an ID-card containing certificates for digital signing and encryption. In fact, Estonia was the first country to use eID for nationwide e-voting in 2007 (Electronic identification - Wikipedia). The country has since amassed enormous experience: over 800 million digital signatures have been given in Estonia in the past 20 years, with around 123 million signatures in 2021 alone (In 20 years, more than 800 million digital signatures have been given in Estonia | RIA). This highlights how routine e-signing is in everyday business and governance.

To complement the ID-card (which requires a smart-card reader), Estonia introduced Mobile-ID in 2007. Mobile-ID is a SIM-based digital ID: a special mobile SIM card contains your private keys, allowing you to authenticate and sign by entering PINs on your phone. It offers the same legal qualified e-signature (QES) capability as the ID-card. Many Estonians adopted Mobile-ID for its convenience of not needing a card reader.

In recent years, an app-based solution called Smart-ID has become extremely popular across the Baltics. Launched in 2017 by SK ID Solutions, Smart-ID is a smartphone app that provides two-factor authentication and digital signing without a SIM card. It is certified as a Qualified Signature Creation Device, meaning Smart-ID signatures qualify as Qualified Electronic Signatures under EU law. As of 2023, Smart-ID has about 3.3 million active users across Estonia, Latvia, and Lithuania, reflecting its wide adoption. In Estonia, residents commonly use either the ID-card, Mobile-ID, or Smart-ID to log into banks, sign contracts, and access e-services. Notably, Smart-ID is accepted for QES in all EU member states. Estonia also offers an e-Residency program – a digital ID card for non-residents – but Estonian citizens and businesses primarily rely on the three methods above for digital identity.

Latvia: eID Card and eParaksts Mobile

Latvia’s national digital identity infrastructure has matured significantly in the last decade. The primary document is the Latvian eID card (electronic identity card), introduced in 2012 as a mandatory identity document for citizens. The eID card contains a chip with certificates for authentication and digital signatures, similar to Estonia’s. Alongside the standard eID, Latvia issues an eParaksts karte (eSignature card) for those who may need a dedicated signing token, though the eID card itself serves that purpose for most users.

To improve accessibility, Latvia launched eParaksts Mobile, a state-provided mobile digital identity app. eParaksts (which means “e-signature” in Latvian) is managed by LVRTC (Latvijas Valsts Radio un Televīzijas Centrs), a state-owned company. The eParaksts Mobile app allows users to authenticate to online services and apply qualified electronic signatures using their smartphone, protected by PIN codes (PIN1 for auth, PIN2 for signing). Users activate the service through identity verification at eParaksts registration centers or online via their eID. The result is similar to Estonia’s Mobile-ID/Smart-ID – a convenient way to sign on the go – but fully operated by the Latvian government. This mobile ID has greatly increased adoption of e-signing in Latvia by removing the need for card readers.

Latvian SMEs today typically use a combination of these tools. For example, an employee might use their eID card and a smart-card reader in the office, but use eParaksts Mobile when remote. Smart-ID is also widely used in Latvia (especially for internet banking login and by some private services), giving businesses an alternative app for cross-border transactions. The main trust service brand “eParaksts” underpins all of Latvia’s eID and e-signature offerings. Overall, the user base for digital identities in Latvia has expanded, enabling businesses to sign documents electronically with partners domestically and in neighboring countries with legal confidence.

Lithuania: eID Card and Mobile ID Solutions

Lithuania’s national digital ID is the Lithuanian eID card (Asmens Tapatybės Kortelė), which has been issued with a chip for online use since around 2009. Over time, the Lithuanian ID card has become the primary identification document, replacing the old passport for in-country use, and it includes certificates for digital signing. Lithuanian eID cards allow users to authenticate to e-government portals and sign documents using a qualified certificate, much like in Estonia and Latvia.

Lithuania has also implemented a mobile-phone based digital identity akin to Estonia’s solution. Often referred to as Mobile ID (Mobilusis elektroninis parašas), this service is offered by mobile network operators in cooperation with the government. A user can get a special SIM card that holds their digital certificates, enabling authentication and digital signatures by entering PINs on their phone (the concept is essentially the same as Estonia’s Mobile-ID). Mobile ID in Lithuania is a qualified service, meaning signatures made via this method are legally equivalent to handwritten signatures. This service gained traction especially among users who prefer using a phone over an ID card reader.

In addition, Lithuania has embraced Smart-ID as well – many Lithuanian bank customers adopted Smart-ID when banks phased out code card logins. As a result, a large portion of the population uses Smart-ID for daily authentication and some also use it to give QES signatures. Unlike Latvia, Lithuania does not have a separate state-run mobile app for eID – instead, the combination of Mobile ID (SIM-based) and Smart-ID (app-based) covers the mobile identity needs. For document signing workflows, Lithuania has platforms such as Dokobit (originating from Lithuania) and the government’s Elektroninis parašas services, which support the national formats. In summary, Lithuanian businesses have at their disposal the eID card, Mobile ID, and Smart-ID to conduct secure digital transactions. While early adoption was slower, usage has accelerated in recent years as these tools became more user-friendly and as legal digital signing gained broad acceptance.

Comparison of Baltic Digital ID Schemes: The table below summarizes key digital identity methods in each country:

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All these eID methods are of high assurance and, when used for signing, produce qualified electronic signatures that are legally valid across the EU. An SME owner in one Baltic country can typically use their national eID (card or mobile) to authenticate on e-services or sign documents in another Baltic country – either directly or via cross-border integration – thanks to the shared regulatory framework (described later).

Common E-Signature Formats and Platforms

When it comes to electronic document signing, the Baltic states use a few common file formats to encapsulate signed documents. Understanding these formats is key for cross-border interoperability. The main formats in use are based on the Associated Signature Container (ASiC) standard, with each country historically using a slightly different flavor for their “national” format:

• ASiC-E – The European Standard container for electronic signatures. It’s essentially a zip archive that contains the document and associated signature files. ASiC-E can support advanced signatures (like XAdES or CAdES). In practice, ASiC-E files often use the extension “.asice”. This format is now widely supported in all three countries as a universal container for signed documents.
  
  
• BDoc – The Estonian container format (extension “.bdoc”), introduced in Estonia after the older “DigiDoc (.ddoc)” format. BDoc is actually an implementation of ASiC-E. Estonia’s current official software saves signatures in ASiC-E format (with .asice extension), and BDoc is essentially equivalent. In fact, Estonia’s DigiDoc4 software by default produces .asice files for new signatures (Digital signing in the DigiDoc4 application with foreign ID-cards - ID.ee). (Older .bdoc files are still readable, and DigiDoc4 treats them as ASiC-E).
  
  
• EDoc – The Latvian national e-signature format (extension “.edoc”), which stands for “Elektroniski parakstīts dokuments” (Electronically Certified Document). EDoc is Latvia’s trusted standard, built as a profile of the ASiC container structure (Agrello Now Supports Latvia’s EDOC e-Signature Format for Secure, Compliant Signing). Technically, an EDoc file is an ASiC-E container using XAdES XML signatures inside. It bundles the signed content and signature data (certificates, timestamps, etc.) to comply with Latvia’s requirements for official documents. In essence, EDoc = ASiC-E + XAdES, just like other Baltic formats, but with a Latvian specification. Many Latvian signing tools (the eParaksts software) produce .edoc files.
  
  
• ADoc – The Lithuanian national e-signature container format (extension “.adoc”). Like EDoc, ADoc is a country-specific variant of the ASiC standard. Lithuania’s specification ADoc v1.0 defines a container for documents signed with XAdES. An ADoc file similarly contains the document and signature XML, ensuring long-term validity. This format was defined by the Office of the Chief Archivist of Lithuania to standardize electronic documents. In practice, modern Lithuanian tools also support plain ASiC-E (.asice) and thus ADoc is interoperable with those. (Notably, some sources refer to Lithuania using “BDoc” as well, since Estonia’s BDoc was reused early on (Digital signing in the DigiDoc4 application with foreign ID-cards - ID.ee). But ADoc is the official term used in Lithuania.)
  
  

These container formats are largely interoperable because they share the same foundation (ASiC and XAdES standards). The differences lie mostly in file extension and specific metadata. All three formats are recognized as equivalent containers for Advanced or Qualified e-signatures under eIDAS. For example, Estonia’s signing software can validate signatures in Latvian EDoc or Lithuanian BDoc/ADoc format without special configuration (Digital signing in the DigiDoc4 application with foreign ID-cards - ID.ee).

Another widely used format is PDF Signatures (PDF/PadES). Instead of a separate container, a PDF file can carry embedded digital signatures (PAdES format). This approach is common internationally and is supported in the Baltics too (for instance, signing portals allow PDF signing). A PDF with a visible signature or an embedded cryptographic signature can also be a qualified signature if the certificate is qualified. However, in Baltic countries, using the container formats (ASiC) has been more prevalent for official signing, because it can package multiple signatures and documents together. A key advantage of ASiC containers (BDoc/EDoc/ADoc) is that one container can hold multiple signatures from different parties. There is effectively no hard limit to how many people can sign an ASiC container (in practice, too many signers might be unwieldy, but 100+ is possible). This is great for multi-party contracts. By contrast, a single PDF file can be signed by multiple people sequentially, but combining certificates can sometimes be less straightforward.

Platforms and Software: Each country provides official software and there are commercial platforms that support these formats:

• In Estonia, the official DigiDoc4 client (by RIA and SK ID Solutions) is used to create and open .asice/.bdoc files. Estonia also has a web portal DigiDoc and various APIs. Many Estonian companies use Dokobit, an online signing platform originally from Lithuania, which supports all Baltic formats.
  
  
• In Latvia, eParaksts.lv is the main portal for electronic signing. LVRTC provides software to create and verify .edoc files, and an online system where users can upload documents to get them signed with eID or eParaksts Mobile. Latvia’s eParaksts tools also support ASiC and PDF for flexibility. As of 2023, platforms like Dokobit and Agrello have also added support for the EDoc format (Agrello Now Supports Latvia’s EDOC e-Signature Format for Secure, Compliant Signing) (Agrello Now Supports Latvia’s EDOC e-Signature Format for Secure, Compliant Signing), allowing cross-border users to produce Latvian-compliant signatures.
  
  
• In Lithuania, the Signa desktop application and online services by institutions (like elektroninisparasas.lt) handle .adoc and .asice files. Dokobit (formerly known as DigiDoc portal) is widely used by businesses for signing documents with Lithuanian ID or Mobile ID. There’s also an official mobile app called “Smart Signature” (Smart Parašas) introduced recently to integrate with the eID card’s NFC chip for signing via smartphone, reflecting ongoing innovation.
  
  

Below is a quick comparison of the e-signature file formats and their usage in each country:

Interoperability tip: If an SME needs to collect signatures from parties in different Baltic countries, using the ASiC-E (.asice) format is a safe choice because it is natively supported by all and is not country-specific. Many platforms default to ASiC-E when multiple signers from different countries are involved. For instance, if an Estonian user initiates signing in DigiDoc4, the resulting container will be .asice which Latvian and Lithuanian partners can easily open. Conversely, if you receive a Latvian .edoc file, you can open and verify it with Estonian or Lithuanian software (after installing their ID-software middleware), or use an online validator. The good news is that all these formats are compliant with EU standards, so no format is truly “foreign” – they differ mostly in branding.

Finally, it’s worth mentioning electronic seal vs signature: All above deal with signatures by individuals. Companies can also apply for a Qualified Electronic Seal certificate (issued to a legal entity, applied by a device or service) to stamp documents on the organization’s behalf. While seals are used in some automated workflows, for most SME use-cases, having people sign with their personal eIDs suffices.

Cross-Border Compatibility and Interoperability

One of the key advantages of the Baltic digital signature ecosystem is cross-border interoperability. In practical terms, a document digitally signed in Estonia can be recognized and validated in Latvia or Lithuania, and vice versa, given the shared standards and EU legal framework:

• Legal Recognition: Under the EU’s eIDAS Regulation, an electronic signature cannot be denied legal effect solely because it’s electronic or from another EU country. A Qualified Electronic Signature (QES), in particular, is explicitly granted the same legal status as a handwritten signature in all member states. This means if your Latvian partner signs a contract with their eParaksts (QES) and sends it to you in Estonia, that signature is legally valid in Estonia just as if they had signed on paper. All three Baltic countries have providers on the EU Trusted List of Qualified Trust Service Providers, so each country’s qualified certificates are trusted across borders.
  
  
• Technical Compatibility: Thanks to the use of common standards like ASiC and XAdES, there is a high degree of technical compatibility. Each country’s signature software has been updated to handle the others’ formats. For example, Estonia’s DigiDoc4 client can verify digital signatures created with Latvian or Lithuanian ID-cards, as long as they are in the expected formats (Latvia’s .edoc or .asice; Lithuania’s .bdoc or .asice). This means an Estonian company receiving a signed contract from a Lithuanian partner (perhaps as a .bdoc file) can open it in DigiDoc and see the signature validity without issue. Likewise, Latvian eParaksts software can likely open .asice files from Estonia. Many third-party platforms (Dokobit, Adobe Acrobat for PAdES PDFs, etc.) are designed to accept multiple signature formats and validate them against EU trust lists.
  
  
• Identity Verification Across Borders: Beyond documents, the eID cards themselves can be used to identify persons across borders. Through the eIDAS Node network, public services in one country can authenticate users with foreign eIDs. For instance, an Estonian entrepreneur could log into Latvia’s business registry portal using their Estonian ID-card or Mobile-ID, if Latvia has enabled that service via eIDAS integration. In practice, cross-border authentication uptake is still improving – as of a few years ago, only about 14% of EU public services supported foreign eID login (eIDAS regulation - EU Digital ID wallet) – but the Baltics have been active in this area through projects like the Nordic-Baltic eID (NOBID) initiative. Many government e-services in each Baltic country now list neighboring countries’ ID login options. For SMEs, this means you can potentially use your home country eID to access certain agencies or platforms in the other country (for example, participating in another country’s public procurement system).
  
  
• Cross-Border Signing Workflows: It is entirely feasible to have a single document signed by parties from all three Baltic states electronically. The key is agreeing on a format or platform. One approach is to use a shared platform (such as an online signing service) that handles notifying each signer and collecting signatures in a unified container. For example, one could upload a contract to Dokobit or eParaksts.lv, invite an Estonian signer (who uses Smart-ID), a Latvian signer (using eParaksts Mobile), and a Lithuanian signer (using their ID card). Each will sign in their method, and the platform will produce a final container (likely .asice or .pdf) that contains all signatures. Another approach is sequential: one party signs and produces, say, an .asice file, then emails it to the next party, who opens it with their software, adds their signature, and so on. Because the container formats are compatible, this daisy-chain can work (though coordination is needed). It’s often simpler to use a single service to avoid any confusion in formats.
  
  
• Verification and Trust: SMEs should be aware of how to verify a foreign electronic signature. Typically, the signature file or container itself carries the necessary information (signer’s certificate, issuing authority, timestamps). You can verify by opening the file in the appropriate software. If you don’t have the native software of the signer’s country, you can use alternatives: e.g., an Estonian can drag-and-drop a Lithuanian ADoc into the Estonian DigiDoc4 – it will show the signature details if it recognizes the format (update software if needed). Additionally, the European Commission provides an EU Remote Signature Validation service online where you can upload a signed file and it will tell you the status. In practice, most Baltic businesses use their local tools which have been updated to trust each other’s certificates (the national trust stores include the other countries’ root CAs). As a real example, a contract signed with Latvia’s EDoc format can be verified in DigiDoc4 just like any Estonian document (Digital signing in the DigiDoc4 application with foreign ID-cards - ID.ee), since DigiDoc4 knows to look for the embedded XAdES signature and Latvian certificates.
  
  

Interoperability in summary: The Baltics benefit from a harmonized approach. Legally, an e-signature from any Baltic state is valid in the others. Technically, minor format differences have been bridged by software updates and a shift toward common formats. Businesses should still communicate with partners about format preferences if needed (for instance, you might agree “let’s exchange signed PDFs” or “we’ll use the .asice format for everyone’s ease”). But overall, the heavy lifting of cross-recognition is handled by eIDAS and standardization.

Legal and Technical Frameworks Supporting Cross-Border eID and e-Signatures

The use of digital identities and electronic signatures in Estonia, Latvia, and Lithuania is grounded in a strong legal framework, both at the national and EU level. Understanding this framework reassures SMEs that these digital transactions are secure and enforceable.

eIDAS Regulation (EU Regulation No. 910/2014): This is the cornerstone of electronic identification and trust services in Europe. Effective since July 2016, eIDAS established a unified legal structure for electronic signatures, seals, timestamps, and electronic identification across all member states. Some key provisions:

• eIDAS defines three levels of e-signatures: Simple Electronic Signature (SES), Advanced Electronic Signature (AdES), and Qualified Electronic Signature (QES). In the Baltics, the signatures produced by ID-cards, Mobile-ID, eParaksts, Smart-ID, etc., are Qualified Electronic Signatures, because they are created with a Qualified Certificate on a secure device and issued by a Qualified Trust Service Provider. QES has the highest legal standing – identical to a handwritten signature – and must be accepted by courts and authorities across the EU.
  
  
• eIDAS mandates that no electronic signature shall be denied legal effect just because it’s electronic or not from the local country. This clause ensures basic mutual acceptance. It also introduced the concept of mutual recognition of electronic IDs: if a country notifies its national eID scheme to the European Commission (meeting certain security levels), other member states’ public services must recognize it for authentication. Estonia was one of the first to notify its ID-card and Mobile-ID scheme (at “High” assurance level), and Latvia and Lithuania have also taken steps to notify their eID cards in the eIDAS network.
  
  
• All three Baltic countries updated or replaced their national laws in line with eIDAS in 2016–2018. For example, Estonia’s earlier Digital Signature Act (which had been in force since 2000) was effectively superseded by eIDAS and implementing acts. Latvia’s Electronic Documents Law and Lithuania’s Electronic Signature Law similarly were aligned to the eIDAS definitions. Now, businesses can rely on the fact that a contract signed with a QES is enforceable in any Baltic court, and government agencies cannot reject a document signed with a partner’s EU digital ID.
  
  
• eIDAS also created the concept of Qualified Trust Service Providers (QTSPs) – entities accredited at the EU level to issue qualified certificates and provide signing services. In Estonia, SK ID Solutions is a QTSP (issuing certificates for ID-cards, Mobile-ID, Smart-ID). In Latvia, LVRTC is the QTSP behind eParaksts, and in Lithuania, providers like Centre of Registers (and SK for mobile-ID) fulfill this role. Being on the EU Trust List means their signatures are automatically trusted EU-wide.
  
  
• From a technical standpoint, eIDAS promoted standards such as XAdES, CAdES, PAdES for signatures and set up the eIDAS nodes for cross-border authentication. Each country has an eIDAS Node (often part of the government Information Systems Authority) that connects to the European framework, enabling an SME from one country to log into another’s service using their home eID securely.
  
  

National regulations and support: While eIDAS provides the umbrella, each Baltic state has its own implementing regulations and support infrastructure:

• Estonia: The usage of digital signatures is ubiquitous and even mandated in certain processes. The Estonian Public Information Act and other regulations encourage electronic filing. Estonia’s courts accept electronic evidence and signatures without hesitation. The Information System Authority (RIA) provides public documentation and tools (like DigiDoc software) for free, ensuring even small companies can use the national e-signature system easily. The legal environment in Estonia strongly favors digital documents – an electronic transaction is by default considered equivalent to written form (On the possibility of electronic signing in Estonia | TRINITI - Pan-Baltic Law Firm), and almost everyone uses them daily.
  
  
• Latvia: Latvia’s laws explicitly recognize both advanced and qualified e-signatures. The Electronic Documents Law (2003, amended multiple times) sets that electronic documents signed with a secure e-signature have the same legal force as paper documents. The government has invested in eParaksts solutions to increase uptake. For cross-border recognition, Latvia participates in EU initiatives and has transposed eIDAS fully. The Electronic Identification Law regulates eID means and ensures foreign eIDs can be used for Latvian e-services too (via the eIDAS node connection).
  
  
• Lithuania: Lithuania’s legal framework for e-signatures was established in the Law on Electronic Signature (2000) and updated for eIDAS. The country also has an Law on Electronic Identification and Trust Services aligning to EU law. Lithuanian authorities actively promote e-signing for both public and private sectors. Notably, since mid-2010s, many government services in Lithuania accept only electronic submissions (for example, company registration can be done with e-signatures). Cross-border, Lithuania has notified its eID scheme and engages in EU pilots to ensure its eIDs are recognized abroad and vice versa.
  
  

Cross-Border Frameworks: Besides eIDAS, the Baltics benefit from regional cooperation. The Nordic-Baltic eID Project (NOBID) has aimed to enable mutual access to online services using each other’s eIDs, which laid groundwork prior to eIDAS becoming fully operational. Additionally, all three are part of the forthcoming Single Digital Gateway initiative, which requires key cross-border procedures (like applying for permits, registering a business in another EU country) to be available online via eID login by the mid-2020s.

On a technical note, interoperability is also facilitated by shared or compatible technology solutions. Estonia and Finland, for instance, share the X-Road data exchange platform; while not directly about eID, this spirit of openness extends to identity – e.g., Estonia and Latvia both use technology from SK ID Solutions for certain services, meaning under the hood there’s similarity.

For an SME, the takeaway is: the legal and technical scaffolding to use digital identity and signatures across Estonia, Latvia, and Lithuania is in place and robust. You can trust a contract e-signed by a partner from a neighboring country, and you should know that the law is on your side in enforcing it. Likewise, you can leverage your national eID to conduct business in the other two countries without needing to obtain local credentials, thanks to the cross-border mechanisms established by eIDAS.

User Adoption Among Businesses

User experience with digital ID and e-signing in the Baltics is generally positive, as evidenced by high adoption rates especially in Estonia and rapidly growing usage in Latvia and Lithuania. Here we look at how businesses are using these tools and how widely accepted they are:

• Estonia: In Estonia, using one’s ID-card or Mobile-ID is second nature. Almost every adult has an ID-card and over 70% of the population actively uses it for internet banking, digital signing, or voting. The culture is such that even mundane daily tasks (signing expense reports, approving contracts, etc.) are handled with digital signatures. For example, when Estonian employees submit monthly reports or sign an employment contract, it’s often done via digital signature rather than ink. Government statistics illustrate this ubiquity – in 2021, Estonians gave on the order of hundreds of millions of digital signatures (In 20 years, more than 800 million digital signatures have been given in Estonia | RIA). It’s common to hear that “almost everyone in Estonia gives digital signatures on a daily basis”. SMEs benefit enormously: they can incorporate a company, sign shareholder resolutions, issue invoices, and conclude deals entirely online. The user experience has been honed over two decades, with improvements like a browser-based signing (Web eID) and mobile apps to replace physical ID use. For an SME, the convenience translates to faster transaction times and less paperwork.
  
  
• Latvia: Latvia’s journey started a bit later, and initially adoption lagged. In the early 2010s, relatively few Latvians used their eID cards for signing, partly due to lower distribution of card readers and perhaps less awareness. However, in recent years, especially after the introduction of eParaksts Mobile, usage has climbed significantly. The user experience of eParaksts Mobile is quite straightforward – you get a unique user ID and PINs, and you can use your smartphone to approve logins or signatures with a tap. Many Latvian businesses began adopting e-signatures during the COVID-19 pandemic when remote work highlighted the need for digital document workflows. The government made eParaksts Mobile free for citizens, removing cost barriers. By 2022, tens of thousands of Latvians were using eParaksts Mobile for daily transactions, and the number has continued to grow. Banks in Latvia also rolled out Smart-ID widely (replacing the old code cards), so even those who might not think about “digital signatures” per se were using a form of secure digital ID. Now, a typical Latvian SME might use a mix: logging into the State Revenue Service with an eID card or eParaksts Mobile, signing supplier contracts through the eParaksts web portal, etc. User experience feedback is generally positive, though perhaps not as “invisible” as in Estonia yet. The government and providers are working on further simplification (e.g., bundling the eID functionality into more convenient formats, raising awareness that an .edoc file is as good as a signed PDF).
  
  
• Lithuania: Lithuanian businesses have also increasingly embraced digital signing. Initially, using the eID card for signing faced similar hurdles (card reader requirement, installing software). But with Mobile ID and Smart-ID, usage skyrocketed because of ease. For instance, many company managers in Lithuania use Smart-ID to log in to their internet bank and can also use it to sign documents via platforms like Dokobit. The Lithuanian government’s online systems (like the e-SEIMAS system for legislative drafting or the e-health system) have accustomed professionals to signing documents electronically. By 2023, a substantial share of B2B contracts and virtually all government filings were done with e-signatures. SMEs find that using e-signatures speeds up cross-border deals – instead of couriers or traveling for a signing ceremony, a Lithuanian and Estonian partner can finalize an agreement in minutes online.
  
  
• Cross-Border Business Use Cases: Among the three Baltic states, cross-border business is common (e.g., an Estonian IT firm providing services in Latvia, or a Lithuanian wholesaler selling to Estonia). Digital identity systems help remove friction. For example, an Estonian entrepreneur can establish a subsidiary in Latvia largely remotely, using their Estonian ID via the Latvian portal (where supported) or by using an e-resident card if necessary. Once that business is running, agreements between the Estonian parent and Latvian subsidiary can be signed electronically by officers in each country. Many accounting firms and law firms in the Baltics have adapted to handling documents signed with different national IDs, advising clients that a document signed with eParaksts or Smart-ID is valid for their records. The user experience for verifying a foreign signature might involve an extra step (such as installing another country’s validation tool or using an online checker), but generally it’s smooth.
  
  
• Adoption statistics: As a snapshot, Smart-ID’s nearly 3.3 million active users across the Baltics (Smart-ID - Wikipedia) is telling – given a combined population of around 6 million for the three countries, this suggests over half the people in the region are using this one digital identity solution. Similarly, Estonia’s Mobile-ID has over 300k users and eParaksts Mobile in Latvia reportedly reached hundreds of thousands. These numbers indicate that even micro-business owners and individual professionals are on board. For an SME, there is also peer pressure in a good way: if you send a paper contract for signature, a Baltic partner might well ask, “Can’t we sign this electronically instead?” because it’s become the norm.
  
  
• User Experience Challenges: One should note user experience hasn’t been without challenges. Early on, installing ID card drivers or dealing with Java applets in browsers was a pain point. But over time, those issues have been addressed (e.g., newer web-based authentication methods, and mobile apps replacing hardware). Generally, once set up, using these IDs is quick: authentication takes maybe 5–10 seconds (entering PIN codes), and signing a document might take half a minute. The time saved compared to printing, signing, scanning, or shipping documents is immense.
  
  

In summary, the digital identity systems are well-integrated into business life in the Baltics. SMEs benefit from a mature ecosystem: high user adoption means partners and customers are familiar with e-signing, and the convenience factor is widely recognized. The learning curve for new users has flattened out thanks to mobile solutions and improved software. This pro-digital culture in Estonia, Latvia, and Lithuania means SMEs can confidently go fully electronic in their cross-border dealings – it’s expected and encouraged by the business community.

Challenges and Solutions in Cross-Border Digital Identity Use

While the Baltic states offer an excellent environment for digital business, SMEs may still encounter a few challenges when using cross-border eID and e-signing systems. Here are some common issues and potential workarounds or solutions:

• Different File Formats and Software: One practical hurdle is dealing with the various signature file formats (BDoc, EDoc, ADoc). If an SME is only used to their national format, receiving a different one can cause confusion (e.g., “What is a .edoc file and how do I open it?”).
  
  Solution: As discussed, using a neutral format like ASiC-E or PDF for exchanges can mitigate this. If you do receive an unfamiliar format, download the appropriate tool: Estonia’s, Latvia’s, or Lithuania’s ID software (middleware) can be installed by anyone and is free (Digital signing in the DigiDoc4 application with foreign ID-cards - ID.ee). Another solution is to use an online validation service – upload the file to a site like the EU DSS demo site, which will tell you if the signature is valid without installing anything.
  
  
  
• Cross-Border Service Acceptance: Not all services or institutions may immediately accept a foreign digital ID for login or signing, especially in the private sector. For example, a Latvian e-banking site might accept Latvian eIDs but not have Estonian ID login enabled, even though legally they could. Or a Lithuanian notary might be unfamiliar with an Estonian e-resident card.
  
  Solution: In the short term, the workaround is often to use the local method if possible (perhaps by having a local representative or simply using a different form of identification). However, given that all three Baltics are pushing eIDAS integration, you can also request or encourage the service to enable cross-border eID. Sometimes banks and others need to see demand. As an SME, you might maintain one bank account in each country to facilitate local operations – then you’d use that country’s ID for that bank (e.g., an Estonian principal might get a Latvian eID if they frequently deal with Latvian banks – note, residency rules apply though). Generally, this challenge is diminishing over time as cross-border acceptance improves.
  
  
• Technical Glitches: Like any tech, digital ID systems can have downtime or bugs. For example, there have been instances of certificate revocation problems or a mobile-ID service outage. Or something simple, like a smart-card reader not working, or a phone battery dying when you need to sign.
  
  Solution: Always have a backup plan. Keep an alternative device or method. If eParaksts Mobile is down (rare, but suppose), you might still use the physical eID card with a reader. If an online signing portal is under maintenance, you can still sign using offline software and email the file. It’s good for SMEs to be aware of the status pages of these services – e.g., SK ID Solutions and LVRTC publish service status. In mission-critical situations, consider obtaining signatures ahead of a tight deadline to avoid last-minute tech issues.
  
  
• Compatibility with Non-Baltic Partners: While Baltic states mutually understand each other’s digital signatures well, you might deal with partners elsewhere in Europe or beyond who do not use any eID. They might ask to use commercial PDF based e-sign services (like Agrello or Docusign) or even insist on paper.
  
  Solution: Be flexible but also advocate for the trusted Baltic methods. You can actually use a Baltic eID to sign on some global platforms too (those usually accept uploading a certificate-based signature). If a Western European partner is skeptical of your Baltic e-signature, you can point out it’s a qualified signature under eIDAS – often that explanation, possibly with a reference link, suffices. If not, one compromise is to sign in both ways: you apply your Baltic e-signature and also perhaps sign the PDF via Agrello system (which may just produce an SES). But make sure that at least one fully qualified signature is on the document for legal safety.
  
  
  

In summary, most challenges are surmountable with a bit of preparation. The interoperability and frameworks are strong, so issues tend to be about usability or awareness. By being proactive (e.g., having the right software installed, guiding partners, possessing backup authentication methods), SMEs can avoid most pitfalls. The Baltic governments and service providers have a track record of responding to issues as well – for example, when cross-border validation issues have been found, they’ve been quick to update software. So staying informed and updated is key to overcoming any minor roadblocks.

Outlook and Future Developments (eIDAS 2.0 and Beyond)

The digital identity landscape in Europe is on the cusp of major enhancements with the forthcoming eIDAS 2.0 regulation and the introduction of the European Digital Identity Wallet. For Baltic SMEs, these developments promise even more seamless integration and new opportunities in cross-border digital business.

eIDAS 2.0 and the European Digital Identity Wallet (EUDI Wallet): The EU has recognized the need to broaden and deepen the eIDAS framework. In 2021, the European Commission proposed an update (colloquially eIDAS 2.0), which has since been moving through approval and implementation phases. The centerpiece is that by 2026, every EU member state will be required to offer a standardized Digital Identity Wallet to its citizens and residents. This wallet is essentially a secure smartphone app or equivalent that can store verified identity information and enable electronic identification and signatures. Unlike current mobile-ID apps which are national, the EU Digital Identity Wallet will adhere to common EU specs, allowing it to be used universally.

For the Baltics, which are already ahead in eID usage, eIDAS 2.0 will bring several benefits:

• Unified User Experience: Instead of juggling multiple apps (e.g., an Estonian might have Smart-ID and Mobile-ID, a Latvian uses eParaksts Mobile, etc.), users could have a single EU ID Wallet app that contains their national eID credentials and possibly others. For instance, an Estonian citizen’s wallet could contain their Estonian digital ID, but also could receive (upon request) a credential from Latvia if needed, or any certified attribute. The wallet will be able to perform authentication and qualified signing, likely superseding or integrating current mobile solutions.
  
  
• Expanded Attributes and Services: The wallet isn’t just about your “ID card.” It can hold electronic attestations of attributes – for example, proof of a business registration, diplomas, or licenses. Imagine an SME manager’s wallet holding a digital certificate that they are the CEO of Company X (a qualified attestation from the business registry). With eIDAS 2.0, such attributes can be issued by authorities and presented across borders. This means if a Lithuanian SME wants to open a bank account in Estonia, the manager can not only identify themselves with the wallet but also instantly provide proof of their role in the company, all digitally. That can streamline cross-border operations significantly, reducing paperwork in Know-Your-Customer and compliance procedures.
  
  
• Greater Private Sector Integration: eIDAS 2.0 will mandate acceptance of the EU wallet by certain private sector providers (like banks, utilities) by 2027 for high value transactions (eIDAS 2.0: Transforming EU Digital Identity | Tink blog). This will harmonize the usage – SMEs will be able to use digital ID for a wider range of transactions across the EU, beyond just government interactions. The Baltics are expected to be early adopters of this, likely requiring banks and large service providers to integrate the wallet login/signing quickly, given their digital-savvy reputation.
  
  
• Cross-Border by Design: The new wallet is explicitly cross-border in design – the goal is “a single digital ID for all Europe.” While today we have interoperability, the wallet should remove remaining friction. An SME owner traveling or doing business abroad could use the same app to, say, sign a contract in another EU country or access a foreign digital service, without worrying about whether that country specifically recognizes their national ID method. It will be universally recognized by virtue of the common standards. In the Baltics, where cross-border transactions with neighbors are routine, this will be a welcome improvement – effectively, it could feel like the three systems merge into one (along with the rest of the EU).
  
  
• Pilot Programs in the Baltics: The Baltic states are actively involved in pilot projects for the EU Digital Identity Wallet. The NOBID consortium (Nordic-Baltic Identity) is one of the large-scale pilots funded by the EU, focusing on cross-border payments and digital signing use cases using the wallet. This consortium, which includes Baltic countries, is testing how an EU wallet can be used to, for example, authorize a payment or sign a document with participants from multiple countries. By July 2024, NOBID aims to have a functional wallet app in testing. Additionally, Baltic states are likely involved in other pilots (e.g., on academic credentials and social security via the DC4EU project (eIDAS 2.0 - The European Digital Identity Wallet - Utimaco)). This means that Baltic SMEs might see early glimpses of the wallet in action through limited pilots or beta apps, possibly as soon as 2025.
  
  
• Security and Trust Improvements: eIDAS 2.0 will come with updated security requirements and standards (like new Qualified Electronic Attestation of Attributes (QEAA) services, and possibly new standards for remote identity proofing). The wallet will use high security modules to protect data. For SMEs, this means even greater confidence in the identity of counterparties – if you receive a credential from someone’s wallet, you can trust it’s officially issued and untampered. Likewise, signing with the wallet should be very secure.
  
  
• Digital Signatures in the Wallet Era: The concept of a QES remains, but how it’s created might evolve. The wallet might hold your signing keys in a secure element or cloud, and when you sign, it will likely produce an ASiC/PAdES or similar output that’s recognizable (so existing formats may remain, or new ones like XAdES2 might come, but backward compatibility will be considered). Baltic SMEs should have no trouble verifying signatures from EU wallets – in fact, by that time, verification tools will be pan-European as well.
  
  
  

In conclusion, the future looks bright for cross-border digital identity in the Baltics. With eIDAS 2.0, the minor inconveniences that remain are being addressed on a continental scale. SMEs should keep an eye on the implementation of the European Digital Identity Wallet in their country (anticipated around 2025–2026) and be ready to adopt it. The new wallet and regulations will further simplify compliance, reduce costs (one wallet app could replace many proprietary solutions), and increase trust in digital transactions.

The Baltic states, already leaders in digital identity, are poised to be front-runners in this next phase as well. By leveraging the current systems now and staying prepared for upcoming improvements, SMEs in Estonia, Latvia, and Lithuania can ensure they remain at the cutting edge of secure, efficient cross-border business in Europe.

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FAQ: Cross-Border Digital Identity and E-Signing in the Baltic States

What is Cross-Border Digital Identity?

Cross-Border Digital Identity refers to the ability to use a digital ID from one country (like Estonia, Latvia, or Lithuania) to authenticate or sign documents in another country, supported by EU regulations like eIDAS. This enables seamless business transactions across borders without needing separate national credentials.

Can I use my national eID to sign documents in other Baltic countries?

Yes. Thanks to the eIDAS Regulation, e-signatures made using national eIDs from Estonia, Latvia, or Lithuania are legally recognized across all EU member states. Businesses can sign and verify documents cross-border using their home country’s eID system.

What are the main digital identity options in the Baltic states?

• Estonia: ID-card, Mobile-ID (SIM-based), Smart-ID (app)
• Latvia: eID card, eParaksts Mobile (state app), Smart-ID
• Lithuania: eID card, Mobile ID (SIM-based), Smart-ID

All these methods support Qualified Electronic Signatures (QES) and comply with EU standards.

What signature file formats are used in the Baltics?

The Baltic countries use several interoperable formats based on the ASiC-E standard:

• .bdoc (Estonia)
• .edoc (Latvia)
• .adoc (Lithuania)
• .asice (EU-wide ASiC-E format)
• .pdf (PAdES – used across all countries)

Using the .asice format is recommended for cross-border use due to its wide compatibility.

What platform can I use for cross-border document signing?

Popular platforms include:

• Dokobit (supports all Baltic formats)
• eParaksts.lv (Latvia)
• DigiDoc4 client (Estonia)
• Elektroninisparašas.lt and Signa app (Lithuania)

These tools allow multi-country collaboration and ensure compliance with local legal standards.

Are mobile apps available for digital signatures?

Yes. Each country has mobile solutions:

• Smart-ID is popular across all three.
• Mobile-ID in Estonia and Lithuania (SIM-based)
• eParaksts Mobile in Latvia (state-managed app)

These offer convenience and QES-level signing from smartphones.

How secure are Baltic digital signatures?

Very secure. All three countries use Qualified Trust Service Providers (QTSPs) and cryptographic keys stored in secure devices or SIMs. The resulting Qualified Electronic Signatures are legally equivalent to handwritten signatures under EU law.

Can I sign with a partner from another Baltic state?

Absolutely. You can sign multi-party documents using a shared platform (like Agrello) or by sequentially adding signatures to an ASiC container file. The formats are interoperable, and each country’s software recognizes others’ signatures.

What should I do if I receive a file in an unfamiliar signature format?

Use the appropriate national software to open and verify it:

• DigiDoc4 for Estonian .bdoc/.asice
• eParaksts tools for Latvian .edoc
• Signa or Elektroninisparašas.lt for Lithuanian .adoc

Or use an EU-compliant online validation tool to check the signature's authenticity.

What is eIDAS and why is it important?

eIDAS (EU Regulation 910/2014) sets the legal framework for electronic signatures and identities in the EU. It ensures that digital signatures from any member state are recognized and legally binding across the EU, enabling seamless cross-border digital transactions.

What is eIDAS 2.0 and how will it change things?

eIDAS 2.0 introduces the European Digital Identity Wallet, expected by 2026. It will unify digital identity across the EU, allowing secure mobile authentication, signing, and document sharing via a single app. The Baltic countries are active participants in pilot programs for this innovation.

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Sources:

• RIA (Estonia Information System Authority) – News release on 20 years of digital signatures (In 20 years, more than 800 million digital signatures have been given in Estonia | RIA) (usage statistics in Estonia).
  
• Agrello – Article on Latvia’s EDoc e-signature format (Agrello Now Supports Latvia’s EDOC e-Signature Format for Secure, Compliant Signing) (Agrello Now Supports Latvia’s EDOC e-Signature Format for Secure, Compliant Signing).
  
• Dokobit Support – Supported document formats (How to upload and sign a document - Dokobit | Support) (How to upload and sign a document - Dokobit | Support) (BDoc, EDoc, ADoc compatibility).
  
• ID.ee (Estonian eID portal) – Guidance on DigiDoc4 with foreign ID-cards (Digital signing in the DigiDoc4 application with foreign ID-cards - ID.ee) (Digital signing in the DigiDoc4 application with foreign ID-cards - ID.ee).
  
• Signicat Docs – About eParaksts Mobile (Latvia) (About eParaksts Mobile | Signicat Documentation) (About eParaksts Mobile | Signicat Documentation).
  
• Wikipedia – Smart-ID (overview and user statistics) (Smart-ID - Wikipedia) (Smart-ID - Wikipedia) (Smart-ID - Wikipedia).
  
• Dropbox Sign (HelloSign) – eSignature Legality in Latvia (eIDAS) (Overview of eSignature Legality in Latvia - Dropbox Sign) (Overview of eSignature Legality in Latvia - Dropbox Sign).
  
• Thales Group – eIDAS 2.0 overview (Digital Wallet by 2024) (eIDAS regulation - EU Digital ID wallet).
• Utimaco – Blog on eIDAS 2.0 and EU Digital Identity Wallet (eIDAS 2.0 - The European Digital Identity Wallet - Utimaco) (eIDAS 2.0 - The European Digital Identity Wallet - Utimaco).