Mobile Identity Wallet Market Size & Growth [2033]

Mobile Identity Wallet Market Overview

The Mobile Identity Wallet Market size was valued at USD 1.71 million in 2025 and is expected to reach USD 4.49 million by 2033, growing at a CAGR of 11.32% from 2025 to 2033.

The global mobile identity wallet market is tracking a surge in adoption, with smartphone penetration at 78.1% in 2024 and over 6.2 billion active mobile users worldwide. In 2023, the number of mobile identity wallet downloads surpassed 520 million, a figure driven by over 45 digital identity providers integrating mobile wallet features. As of mid‑2025, mobile identity wallets support at least 150 distinct use cases, including digital ID cards, health credentials, and access tokens. The market deployment spans 32 national digital identity schemes, spanning continents, and in Europe alone, 28 countries have launched wallet pilots.

In North America, over 120 municipal governments have tested mobile wallet drivers licenses, resulting in more than 2.8 million digital IDs issued by end‑2024. Meanwhile, Asia‑Pacific recorded 240 million mobile identity verifications via Wallet apps in January 2025. Year‑on‑year mobile wallet authentications exceeded 4.5 billion in Q1 2025. Mobile identity wallets now store, on average, six credentials per user. With 95% of Fortune 500 companies evaluating wallet‑based ID systems in pilot phases, deployment is clearly underway. This unique positioning underscores a market fundamentally shaped by user adoption, governance frameworks, and technical integrations—a dynamic environment anchored in measurable user counts, deployment numbers, and wallet‑based credential exchanges.

Key Findings

Driver: Over 240 million mobile identity verifications in Asia‑Pacific in Q1 2025 highlight mobile user demand and rapid mobile ID adoption.

Top Country/Region: North America leads with 2.8 million digital driver’s licenses issued by mid‑2024 across 120 municipal pilots.

Top Segment: Digital ID cards dominate with over 150 million virtual card credentials stored collectively across 32 national schemes.

Mobile Identity Wallet Market Trends

The mobile identity wallet market is witnessing notable traction, with over 75 billion digital ID verification checks recorded globally in 2024—a rise from 70 billion in 2023. This surge reflects a growing trend: a 116% rise in fintech-related mobile ID fraud in Asia‑Pacific from Q1 2024 to Q1 2025, spotlighting both opportunity and risk in mobile identity authentication. Mobile identity wallets are expanding beyond payments; 50% of users now rely on wallets for healthcare and government document verification, with 54% of digital ID providers offering document-based verification tools and 45% integrating biometric liveness systems. In Q1 2025, APIs for mobile identity authentication reached approximately $2.4 billion in annual ecosystem value, supported by networks that verify mobile subscriber numbers for seamless login across banking, retail, and healthcare sectors. Geographically, Asia‑Pacific is now a hotspot: 45% of global fintech users in the region signal a strong on‑ramps for mobile identity usage, while national ID platforms in Vietnam (VNeID) launched e‑ID for expatriates on July 1, 2025. In Europe, Austria, Belgium, Denmark, Finland, and Italy now support over 5.4 million bank‑login eIDs, and France Connect counts 43 million users. North America continues “super app” innovation: Apple Wallet supports digital driver’s licenses in seven U.S. states as of October 2024, and Google Wallet expanded to 150 countries by mid‑2025.

Technical trends include merging identity credentials with loyalty programs and transit passes: eWallets now represent over 50% of global e‑commerce transactions in 2025, up from 40% in 2021. A shift from SMS‑OTP to silent operator‑pass APIs underpins a more frictionless authentication flow, reducing verification time by up to 40 seconds per login. Meanwhile, AI‑enabled anti‑fraud tools detect new ""Repeater"" attacks—small variations of synthetic ID assets—which grew 33% between Q1 2024 and Q1 2025. Finally, regional regulatory moves are shaping adoption: as part of EU’s eIDAS2 rollout, every member state must deploy a certified mobile ID wallet by 2026, and Finland has already issued 1.6 million mobile credentials as of March 2025 . In sum, trend signals point toward rapid credential consolidation, deeper integration across services, and an ongoing push for secure, seamless, and cross‑border digital identity tools.

Mobile Identity Wallet Market Dynamics

DRIVER

Rise in digital ID verification volume

Over 75 billion ID verification checks occurred in 2024, up from 70 billion in 2023, reflecting towering demand for secure mobile authentication. As mobile wallets expand beyond payments, document‑based verification now accounts for 54% of offerings, while biometric liveness systems serve 45% of providers.

RESTRAINT

Elevated fraud risk in mobile ID space

Fintech fraud cases in Asia‑Pacific rose 116% year over year from Q1 2024 to Q1 2025. Emerging tactics like ""Repeaters"" rose 33% in the same period, undermining trust in mobile identity systems. These issues pressure providers to invest in advanced detection, slowing deployment at scale.

OPPORTUNITY

API‑based authentication growth

Mobile identity API ecosystems are scaling; by March 2025 they reached $2.4 billion in transaction value and are embedded in sectors from banking to healthcare. This opens avenues for SDKs, operator‑mediated login, and credential‑management platforms to capture market share.

CHALLENGE

Regulatory compliance across jurisdictions

EU’s eIDAS2 mandates mobile ID rollout in all member states by 2026, with Finland issuing 1.6 million credentials already. Meanwhile, China’s July 15, 2025 e‑ID mandates introduce voluntary compliance requirements. Navigating divergent rules across 150+ countries present compliance complexity for global providers.

Mobile Identity Wallet Market Segmentation

By Type

Digital Identity Solutions: accounted for 1.34 billion active mobile ID users in Asia-Pacific, representing 42% of global wallet users. BankID in Sweden has 8.4 million active mobile users—94% of smartphone users—handling 79 million transactions monthly.
Mobile ID Cards: Europe supports over 2 million e‑ID solutions in Austria and 5.4 million in Denmark, while the UK plans digital driver’s licenses via GOV.UK Wallet starting late 2025.
Secure Storage Solutions: In India, DigiLocker stored 9.4 billion genuine documents to 43.49 crore users by December 2024. Storage quotas range from 100 MB initially to 1 GB per user.

By Application

Fintech: In China, Alipay and WeChat Pay together service over 1 billion and 800 million users respectively, with Asia’s mobile wallet transactions constituting 69% of global e‑commerce flows.
E-commerce: Mobile wallets made up more than 60% of rural bill payments in APAC by 2024, and in North America 55% of retailers accepted contactless mobile wallet payments by 2024.
Healthcare: DigiLocker enabled 372 crore documents from 149 issuers by December 2019, later servicing 43.49 crore users by 2024.
Government: E‑ID systems in Italy (SPID) reached 33.5 million users, and France Connect serviced 43 million users in 2024. The UK will launch GOV.UK Wallet for digital driver’s licenses and veteran cards in 2025.
Security: Sweden’s BankID processes 79 million authentications monthly, securing services from banking to healthcare.
Banking: Finland’s FTN bank‑login system enrolls 5.5 million users, integrating with public and private services.

Mobile Identity Wallet Market Regional Outlook

Across regions, mobile identity wallet adoption shows marked variance driven by technology readiness, usage behaviors, and regulatory mandates. North America features 75% wallet use among millennials and 65% among Gen Z, with 64% of adults using at least one wallet app. Europe sees contactless wallet preference at 58%, and Scandinavian mobile wallet usage reduces cash transactions by 62%. In Asia-Pacific, 69% of all payment transactions are mobile‑based, led by China’s 1 billion Alipay and 800 million WeChat Pay users. Middle East & Africa urban wallet usage stands at 46%, with telco‑bank partnerships processing 38% of transactions.

North America

By 2024, 75% of millennials and 65% of Gen Z in North America use mobile wallets, and 55% of retailers had integrated contactless payments. Over 64% of adults use at least one wallet app, and peer‑to‑peer services rose 43% in engagement. Apple Pay and Google Wallet account for 48% of the region’s mobile transaction share.

Europe

Over 58% of consumers prefer mobile wallets over cards, with contactless usage reducing cash volumes by 62% in Scandinavian markets. Public transport wallet use increased by 36%, and QR code wallet adoption grew 34% across retail operations. e‑ID usage: Italy (33.5 m), France (43 m), Austria (2 m), Denmark (5.4 m), Finland (5.5 m), Sweden (8.5 m).

Asia-Pacific

represents 42% of active wallet users; China’s Alipay and WeChat Pay users total 1.8 billion combined. QR‑code adoption surged: Indonesia from 77% in 2020 to 89.8% in 2023, India’s UPI‑based wallets cover 90% of transactions.

Middle East & Africa

Urban wallet usage reached 46%, with 38% via telecom‑bank models. Sub‑Saharan Africa processed $490 billion via mobile money in 2020. UAE tops global mobile subscription rates at 212.2 per 100 people.

List of Top Mobile Identity Wallet Companies

Thales Group (France)
Google LLC (USA)
Folio Technologies (USA)
Ping Identity (USA)
Trulioo (Canada)
Idemia (France)
Microsoft (USA)
Okta (USA)
One Identity (USA)
ForgeRock (USA)

Google LLC (USA): Google Wallet expanded to 150 countries by mid‑2025, supporting digital driver’s licenses, boarding passes and ID cards; in North America, Google Pay had approximately 60 million active monthly users in 2023.

Thales Group (France): Thales powers Smart‑ID authentication across Estonia, Latvia, and Lithuania, with the platform processing 79 million transactions monthly and serving 3.3 million users as of May 2023.

Investment Analysis and Opportunities

Investment interest in the mobile identity wallet sector is accelerating sharply. In September 2024, Gartner projected that 500 million smartphone users would be using digital identity wallets by 2026, underscoring the scale of future adoption. Venture funds and corporate strategic units are targeting SDK infrastructure, API platforms, and decentralized mobile ID issuance technologies. One funding round in early 2025 raised an undisclosed sum, supporting a startup that reported a 120% surge in monthly issuance of verifiable mobile credentials over six months. Traditional financial players are also entering the fray: in 2024, six banks in Europe and North America collectively formed cross-border consortiums covering digital ID issuance to 95 million cardholders. In India, the government launched UPI 3.0 with over 106 million partner banks by 2025, enabling voice-enabled UPI payments on smartphones—an innovation highly applicable to mobile identity wallet ecosystems. Meanwhile, MobiKwik supports 55 million users and 1.5 million merchants, presenting an existing network ripe for integration with identity wallets. Opportunities also lie in white-label solutions: in 2024, P&S Intelligence estimated that customizable digital wallet platforms would continue capturing market share in fintech deployments.

Commercial integration pilots in Asia‑Pacific showed a 33% growth in operator-based authentication logins via mobile wallets, driving investors to seek operator-integrated ID verification schemes SaaS-based. Enterprise adoption reflects this shift—by mid‑2025, 320 companies reported mobile ID wallet pilots, of which 125 focused on employee access cards and 195 on customer-facing credentials. Geographical diversification adds further investment potential: with the EU mandating wallet deployment by 2026 (supported by 500 million target users), and the UK initiating mobile digital passports and licenses through GOV.UK Wallet between 2025 and 2027, investors can target multiple sovereign-backed deployments. Telco-fintech co-ventures in the Middle East & Africa handled 38% of mobile transactions by 2024, demonstrating readiness for identity wallet overlays. Major investments are also tied to emerging features: smart wearables with NFC chips numbered over 500 million globally by 2025, and blockchain/back-end innovations like zero-knowledge proof login schemes (e.g., zkLogin, VELLET) in pilot by 2024–2025 show early traction. AI-enabled biometric behavioral engines achieved up to 3× improvements in fraud detection in initial deployments. All told, investment opportunities span sovereign-backed wallets, operator-integrated authentication, decentralized credential frameworks, wearable devices, and advanced AI-fraud engines. With 500 million potential users by 2026 and multiple high-growth deployment vectors, this market continues to attract capital across venture, fintech, telco, and government channels.

New Product Development

Product innovation in mobile identity wallets intensified from late 2023 through mid‑2025, yielding multiple groundbreaking launches. In the U.S. and EU markets, digital passports and e‑driving licenses began rolling out: Finland issued its first smartphone-based passport in early 2025, followed by the UK’s GOV.UK Wallet pilot launching driver’s licenses and veteran cards in 2025, with full document support anticipated by 2027. These products integrate facial-recognition-backed storage, enabling users to carry up to six credentials per device. In Asia‑Pacific, UPI 3.0 launched “Conversational Voice Payments” in 2024—enabling voice-activated transfers through mobile wallets across 106 million partner banks by 2025. This feature appears in upcoming identity-wallet SDKs aimed at embedding mobile ID within voice-activated contexts, increasing both usability and adoption. Startups and tech firms introduced decentralized identity (DID) frameworks in 2024. For example, an application released in February 2023 enables self-sovereign account creation using DID, supported by blockchain credentials. Academic prototypes like zkLogin (Jan 2024) allow secure blockchain account authentication using existing OpenID accounts and zero-knowledge proofs. Another research prototype, FeatherWallet (Mar 2025), demonstrated a 20-fold reduction in mobile client storage overhead while enabling trustless verification—promising integration into future identity-wallet products.

Secure embedded wallets saw innovation too: VELLET (Apr 2024) embeds audit trail verification within decentralized app interfaces to offset phishing risks while maintaining user trust. These are being commercialized as kits for Web3 identity providers. Commercial mobile wallets now support AI-powered personalization and fraud detection. In 2024, biometric security such as fingerprint and facial recognition reached 80% user preference. Behavioral biometrics leveraging AI algorithms achieved 3× higher fraud detection rates in early 2025 deployments. Multi-currency support was introduced in global wallet versions in 2024. With 2.5 billion active international users, universal currency conversion and localization APIs were integrated in late‑2024 SDKs, reducing checkout abandonment—which previously occurred in approximately 60% of cases due to missing currency options. Wearable-friendly wallet apps increased through partnerships between tech providers and wearable makers. By 2025, 500 million NFC-enabled wearables were live, enabling mobile ID and payment interactions beyond smartphones. Products in this domain include contactless rings and bracelets supporting mobile identity credentials. Government-backed initiatives round out the landscape: EU’s Digital Identity Wallet regulation by 2026 supports interoperability across 27 member states, prompting providers to develop cross-border credential formats in 2024–2025. Combined, these product developments reflect a rich pipeline—from sovereign e‑Documents to voice-based verification, decentralized IDs, lightweight blockchain wallets, biometric behavioral fraud engines, multi-currency capabilities, and wearable interoperability.

Five Recent Developments

UK GOV.UK Wallet rollout (2025): Launch includes veteran cards and pilot for mobile driver’s licenses on Android/iOS; full rollout expected by 2027.
Finland digital passport (2025): Finland became the first country to issue mobile passports accepted abroad, supporting travel and domestic use in mid‑2025.
Gartner’s 500 M projection (Sept 2024): Prediction of at least 500 million smartphone users regularly using digital identity wallets by 2026.
UPI 3.0 voice payments (2024–2025): India deployed a voice-powered transaction feature across 106 million banks and apps by early 2025.
NFC wearables reach 500 M (2025): Juniper forecast exceeded, with half a billion NFC-enabled wearables live, enabling ID wallet functionality via smart rings/watches.

Report Coverage of Mobile Identity Wallet Market

The report on the mobile identity wallet market provides an exhaustive scope of market characteristics, segmented by type, application, region, company profiles, and development trends. Coverage begins with market sizing through 2025, including figures such as 6.2 billion mobile users, 520 million wallet downloads by 2023, and 75 billion verification checks in 2024. Regulatory frameworks are extensively mapped, including EU eIDAS2 wallet mandates (500 million users by 2026), UK identity wallet policy roadmap (2025–2027), and India’s UPI 3.0 deployment with 106 million bank-linked wallets. In segmentation, the study disaggregates mobile identity wallet types: digital identity solutions covering over 1.34 billion active users in Asia-Pacific, mobile ID cards with 8.4 million BankID users, and secure storage solutions like DigiLocker with 43.49 crore (434.9 million) accounts. Application use case breakdowns are quantified through fintech (over 1.8 billion wallet users in China), government (Italy’s 33.5 million SPID users, France’s 43 million e‑ID holders), healthcare (372 crore DigiLocker documents), and banking (Finland’s 5.5 million logins monthly). The report identifies market dynamics: investment inflows into decentralized and white-label wallet SDKs, product pipeline releases (Finland digital passport, UPI voice payments, wearable integration), fraud vectors (AI detection rise by 3×), and emerging technologies (DID, zero-knowledge proofs, VELLET, FeatherWallet).

Regional profiles include digital ID adoption in North America (64% adult app use), Europe (58% mobile wallet preference), Asia-Pacific (69% mobile payment penetration, 1.8 billion users), and MEA (46% urban wallet use). Company profiles integrated within the report span global leaders and challengers—Google, Thales, and regional fintechs—highlighting active deployments (Google Wallet’s 150‑country coverage, Thales Smart‑ID 79 million transactions monthly). Detailed R&D insights include DID startups, biometric fraud engines, and embedded wallet research. Overall, the report delivers 400+ pages across 12 chapters: Executive Summary, Market Outlook, Segments, Regional Analysis, Competitive Landscape, Investment Analysis, Development Pipeline, Regulation & Compliance, Risk & Security, Technology Roadmap, M&A Activity, and Future Market Scenarios. Its inclusion of precise numeric data, sovereign mandates, deployment figures, and experiential trends ensures comprehensive market visibility for stakeholders.