EUDI Wallet issuance is transformative opportunity for banks: Mobey Forum

The financial industry is currently preparing for the introduction of the European Union Digital Identity (EUDI) Wallet. While the digital ID will bring benefits, such as lower operational costs for onboarding and authentication, building a “traditional business case” will pose a challenge for organizations, according to a new report on banks and digital identity from Mobey Forum.

The Helsinki-headquartered financial industry association encourages banks to define their strategies before the 2026 deadline for compliance under the eIDAS 2.0 regulation.

According to the new rules, banks will be required to integrate with the EUDI Wallet, allowing customers to use it for identity verification and authentication while accessing their accounts and conducting transactions. Financial institutions must also accept and process digital IDs and trust services from any EU Member State.

“By embracing EUDIW, banks can elevate customer experiences, optimize operations, and solidify their role as trusted digital intermediaries in an evolving financial landscape,” says Roland Eichenauer, vice president of Business Development at identity solutions company IN Groupe.

The Mobey Forum report lays out two market scenarios for banks. In less mature markets, such as parts of Southern and Eastern Europe, banks have a significant opportunity to drive digital ID adoption. In more mature markets with strong digital ID ecosystems, including the Nordics and Estonia, banks can embed themselves more deeply into customers’ digital lives by adopting digital wallets and verifiable credentials.

The report also argues that banks can take on three roles within the EUDI Wallet framework: Wallet Issuer, Credential Issuer and Relying Party.

“Acting as a Wallet Issuer is the most transformative yet high-investment option, enabling banks to integrate deeply into customers’ digital lives,” says the paper. However, this role is only available to certified entities and permitted by national authorities.”

In addition to these formal roles, the report proposes a fourth role of Access Provider, which means that banks integrate EUDI Wallet functionality into their existing apps without directly issuing or consuming credentials.

The report, titled “Mapping the Business Case: Banks and the European Digital Identity Wallet,” presents several case studies, including Spanish mobile payment platform Bizum, the ID Austria platform and the Findynet Cooperative, a Finnish public-private organization developing a verifiable data network.

The document was authored by the Mobey Forum’s Digital Identity Expert Group, including representatives from IN Groupe, BankID, Tietoevry, Giesecke+Devrient (G+D), Erste Bank, HSBC, Bank of Ireland, PostFinance and others.

Article Topics

banking  |  biometrics  |  digital ID  |  digital wallets  |  EU Digital Identity Wallet  |  financial services  |  Mobey Forum