The time is set for the first quarter of 2026: The Swiss population will have the opportunity to manage their identity electronically. Finalix is investigating whether the E-ID can gain traction in the financial sector, especially as many banks have already introduced their own solutions for electronic identification, particularly for onboarding.
Back in the spring of 2021, the Swiss population had the chance to vote on the then-proposed E-ID law. With 64.4% voting against, a clear majority rejected the proposed legislation. Despite this significant rejection, the federal government announced on the day of the defeat that the need for an E-ID still exists. The rejection was mainly due to the details of the law, not the idea itself. Consequently, work began on a new law.
Since then, work has been ongoing on the law and on technological solutions, which are expected to lead to the introduction of the E-ID in the first quarter of 2026. But how will the E-ID establish itself in the financial sector?
The authors consider the quick acceptance of the E-ID desirable but not guaranteed. In recent years, many banks – accelerated by the COVID-19 pandemic – have developed their own identification solutions to continue acquiring new customers. From the authors’ perspective, there is no immediate need for action on the part of the banks. Moreover, the adoption of the E-ID might face a classic “chicken-and-egg problem”: Banks (or, more generally, all companies) will only accept the E-ID if many people use it. Conversely, many individuals will only obtain an E-ID if they can use it with companies and banks. If neither party makes a move, the E-ID will only slowly gain acceptance.
To better understand the current situation and the willingness of banks to accept the E-ID, finalix has launched a survey: In addition to assessing the acceptance of the E-ID as a form of identification, the survey aims to identify other potential use cases for banks based on an electronic identity. For example, a solution for electronic signatures would be conceivable. The authors see this potential for digitizing additional processes as an opportunity for broad and rapid adoption of the E-ID.
The survey is still ongoing. Interested individuals from the financial sector can access it via this link: https://forms.office.com/e/Zm8m3dPzP1.
Source: https://www.eid.admin.ch/
