As Germany continues to move toward a digital future, the German eID has emerged as a cornerstone of the country's identity infrastructure. Having worked closely with this technology as Product Manager for Mobile and Web SDKs at Fourthline, I've seen firsthand how the German eID is reshaping secure digital verification across both the public and private sectors.
Fully integrated into mobile devices since 2021, the German eID is becoming the go-to ID solution for a significant part of Germany’s population. But what does this mean for the future of identity verification in Germany and the EU at large?
For starters, the eID represents a fundamental shift toward more secure, seamless digital interactions that comply with the most stringent European regulations — including recent and pending updates to eIDAS, GDPR, and AML requirements. For this reason and more, the German eID is a powerful tool for businesses looking to future-proof their identity verification processes. Let’s look at where the eID stands today, and why changes in the market and regulatory landscapes may strengthen its position moving forward.
The German eID: Built for security and simplicity
The German eID system revolves around chip-based, government-issued ID cards available to all German citizens, residents, and EU/EEA nationals. What makes this system particularly robust are its security features, which include strong cryptography, two-factor authentication, and end-to-end encryption.
But it’s not just about security. From a user experience perspective, the beauty of the German eID lies in its simplicity. When considering the sheer number of steps involved, the Germany ID places much less of a burden on the user when compared to traditional verification flows that may involve video identification (Video-Ident), a qualified electronic signature (QES), or bank account verification.
To onboard with a German eID, users only need:
their eID card
their six-digit PIN, which can be set up with the information in an initial PIN letter
an NFC-enabled smartphone — the same technology used for contactless payments at the supermarket
This smartphone integration represents a major leap forward in user convenience, eliminating the need for additional hardware without sacrificing a high level of security.
The eID's user experience advantage
When evaluating identity verification solutions, friction is the enemy of conversion. Traditional alternatives like Video-Ident require multiple steps, longer verification times, and often result in user abandonment — which explains why the financial sector is quickly moving away from Video-Ident.
In contrast, the German eID flow is refreshingly streamlined. With the eID, all you really need to ensure a frictionless experience is a PIN and an NFC-enabled device.
Admittedly, this may pose some barriers to older customers — and those not accustomed to memorising or keeping track of their PINs. But it would be a mistake to consider PIN-based authentication a barrier on the same level as what we see with Video-Ident. After all, people have been using PINs for their bank accounts for years. And while PIN-based authentication does introduce some friction, this friction is purposeful in the sense that it ensures security while leveraging existing user behaviours.
The market landscape in 2025: A growing digital ecosystem
Here at Fourthline, we’ve been impressed by the adoption trajectory for German eID throughout 2025. We're seeing unprecedented growth across multiple industries — not only banking and finance, but also healthcare, e-commerce, and public administration. Wherever you look in Germany, you’ll find an industry embracing the secure eID ecosystem.
The numbers bear this out. Germany’s Federal Ministry of the Interior claims that over 97% of all ID cards in circulation have activated eID capability as of October 2024. This represents a substantial expansion of the addressable market for businesses implementing eID verification.
Improvements in mobile technology are a major driver behind this transformation, and the shift from traditional card readers to NFC-enabled smartphones has been particularly transformative. The technology has moved from specialized hardware to ubiquitous mobile devices, dramatically expanding accessibility and the potential for user adoption.
The regulatory landscape in 2025: Shifting to EU-wide compliance
The German eID operates at the intersection of multiple evolving regulatory frameworks that are reshaping digital identity across Europe.
Germany's eID fully complies with the EU-wide eIDAS regulation, providing maximum regulatory confidence for cross-border operations. The introduction of eIDAS 2.0 and the EU Digital Identity (EUDI) wallet framework will further position the eID as a forward-compatible solution for the EU's emerging digital identity ecosystem.
The eID's built-in privacy safeguards also ensures compliance with GDPR, and its strong authentication and comprehensive audit trails support anti-money laundering (AML) requirements.
Regulatory positioning for 2025 and beyond
Here are Fourthline, we’re planning for the future with ID solutions that address present-day challenges while preparing businesses to operate in an increasingly digital-first world.
The regulatory landscape is evolving rapidly. Video-Ident solutions could phase out as early as 2027 due to the EU’s new Anti-Money Laundering Regulation, making the transition to German eID not just smart but potentially table-stakes for many businesses.
This means that for businesses operating in Germany, the question isn't whether to implement German eID support — it's how quickly and seamlessly they can do it while maintaining their current verification capabilities.
The Fourthline advantage: Seamless integration
One key advantage in Fourthline's approach to German eID implementation lies in its seamless SDK integration.
Fourthline offers an eID solution within its SDK, enabling it to seamlessly plug into a partner’s mobile application. This means customers don't need to exit the app and go into a different one to continue through the flow — a major source of friction that can lead to a dip in conversion.
An overview of Fourthline's eID onboarding flow
The German eID onboarding flow is designed for simplicity. Here’s how it works:
Customers get an on-screen prompt to prepare ID document
They choose their preferred verification type (eID or ID document)
They enter their eID PIN
They then scan the document’s NFC chip
The verification process is complete!
This entire process typically takes only a few minutes, resulting in a frictionless user experience that meets the highest compliance standards.
One partner, multiple options for onboarding
Fourthline's solution also allows for the implementation of verification methods besides the German eID.
Another version of our onboarding flow includes a bank-grade KYC flow, QES, and bank account check. Partners can make this flow available to customers alongside the German eID flow, allowing them to serve diverse user preferences while positioning themselves for the future of digital identity.
The future of German digital identity
As we look toward the remainder of 2025 and beyond, it's clear that the German eID is becoming the foundation of Germany's digital identity infrastructure. The combination of growing adoption, regulatory support, and technological maturity positions the German eID as the preferred solution for many of Fourthline’s partners.
The market dynamics are clear: businesses that integrate eID capabilities now will be best positioned to serve the growing segment of digitally native users while keeping up with evolving regulatory requirements.
For organisations evaluating their ID verification strategy, the German eID offers a unique combination of user friendliness, regulatory compliance, and future-proof technology. To learn more about Fourthline's eID solution, get in touch with our team today.
Eloise Dack is a Product Manager for Mobile and Web SDKs at Fourthline, where she specialises in building seamless KYC onboarding and authentication experiences that boost conversion and trust.
