A digital signature is necessary when you want to electronically sign documents, files and forms securely. Some organizations may use an electronic signature, but this is not the same thing. The difference between the two types of signatures is that with digital ones the data is encrypted. In order to decrypt the data you will need the user’s public key after the document has been sent to you. Without the public key you are unable to open or authenticate the document, file or form.
A Digital Signature Can Be Used to Replaced Paper-Based Signature Methods
You can use a digital signature as a form of authentication in place of traditional paper-based methods. Since this type of signature is secure, it eliminates having to assemble a group of people and act as witnesses as paper forms are signed. Rather, the signer applies his signature to the form electronically. Using his private key, the document is encrypted and secured. Once it is received, the recipient uses the supplied public key to authenticate and open the form.