In the 21st century, where every second matters, in this fast-moving business industry, almost every business and operation turns to digitalization to make their business more efficient and faster. They use different tools and tactics to make it successful, and one key is to transform it into a virtual. In this digital age, electronic signatures have become unremarkable for signing documents. However, it is not the only way, but it is better to utilize and surpass the traditional way of binding the legal or any other form of document. As technology evolves, the adaptation of new and more efficient ways is the need of time.
Here, we try to understand the wet, electronic, and digital signatures and their other perspectives and also their relevance in this digital world.
What Is A Wet Signature?
Not a long time ago, when all humanity’s corporate work used to completely depend on paper printing, wet signatures were the norm. If we simply put down the definition of a wet signature, it is that a wet signature is a physical form or a manually written signature. The people used to do it with a pencil or other ink-based pen. A wet signature also refers to someone’s name created when they need to mark a document physically. Writing a name with some curve and style format on a piece of paper.
What Is An Electronic Or Digital Signature?
An electronic signature, e-signature, or digital signature is a representation of a person’s wet or physical signature that can be used to sign the digital form of documentation. An electronic signature generally refers to acknowledging receipt or acceptance of electronic messages, documents, or transactions and other forms of legally digitalized bindings.
With that many complexities and technicalities in the digital world, the concept of the electronic or digital signature is relatively straightforward. Every document or legally binding that is signed through a digital form has a PKI-based certificate public key infrastructure to make sure that both signatures and original documents are safe and fully encrypted. A type of service provider that ensures document integrity and identity authentication.
Legality Of Electronic Signature
Over a billion users on the world web use electronic signatures to sign their documents digitally; notwithstanding the foregoing, the question must arise whether electronic signatures are legal. In most countries, yes, it is legal and frequently used in daily life as an alternative to wet signature.
Since the electronic signature in the Global and National Commerce Act e-sign went into effect in late 2000, electronic and digital signatures have held the same relevance and legality as wet signatures. It is also important to note that every country and state has its own regulations and lawsuits related to the legalization of documents through electronic and digital signatures, and they are applicable according to their law and e-signature regularity.
However, you may consider the UETA and ESIGN ACT in the United States and European Union, preferably for the specific document where e-signatures are valid.
Why Switch To An Electronic Signature?
In the flow of information and fast-paced industry, almost everything has transformed into digitalization. Businesses also turn into e-stores and gradually fade their appearance. To stay relevant and competitive in the market and to accelerate overall efficiency and productivity, one must understand the relevance of digitalization and ensure their presence in the web world as well. Most of the things take time to change, but the results are worth seeing, like e-signatures.
According to thorough research, the Global electronic or digital signature market is projected to reach nearly 26.07% CAGR from 2022 to 2030. Now, the use of electronic signatures allows individuals, firms, organizations, and companies to work and collect e-signatures without risking their security. Some of the benefits of switching to electronic signatures are listed below.
Save the paper
By using electronic signatures, we can surely help protect nature from destruction by saving it from deforestation. The reduction of using a piece of paper and the huge amount of water that is used in the production of paper are saved and are great for the environment.
Record Keeping
how you feel when you finally get rid of a bundle of physical files of old records with the adaptation of the electronic signature helps businesses streamline and keep their records more efficiently. Electronic signatures are capable of facilitating the tracking, audition, and storage of all signed documents. Without any tension of misplacing the files, the e-system ensures the safety of the documents.
Fast-driven Customer Experience
The legalization and binding of the documents, agreements, contracts, and deals in which the signatures are necessary are most often the lengthy and complicated process. Even a small mistake needs to restart the whole paperwork. However, using the electronic signature option saves the effort and enhances the customer experience. Promoting e-signatures has become an undeniable process in business life.
The Relevance Of Wet Signature
As we move forward, the vulnerability and relevance of wet signatures are questioned as noted that wet signatures come with many risks and threats, such as theft, loss of valuable documents, and destruction, and in the legal dispute, the parties may need to engage and try to authorize the wet signature which will be a very lengthy, expensive and time-consuming process.
Having all these problems with the digital process, electronic signatures are now considered the best options to use in today’s highly digitalized world. They are acceptable and legally bound all over the world except for a few states.
Conclusion
Having the relevant information on when and how to use your signature, regardless of whether it’s wet or electronic, will allow you to choose the right and best option for you according to the circumstances and the seriousness of the situation. If you have any security issues and doubts about the e-signature, you may still have the option to use the handwritten signatures. In this way, you are safe from online founders. It’s completely up to the individual and organization how they utilize their signature in accordance with their situation.
