Digital signatures are a subset of electronic signatures. eSignatures in their simplest form provide an image of your signature, whether hand-drawn or selected from a list of cursive templates, digitally imprinted on an electronic document. Digital signatures take security to a new level by cryptographically attaching a third-party-authorized digital certificate to your eSignature that is unique to you, providing proof that you are in fact the person signing the document and not someone else. Public and private keys associated with your digital certificate ensure that no one can falsely impersonate the signer.
For many business transactions, such as signing an NDA or a vendor contract, eSignatures are sufficient. However if the transaction involves highly sensitive personal data and/or takes place within a highly regulated industry, digital signatures may be the preferred route.