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What Is a Digital Key and How Does It Work? [2025 Guide]

Alexander Stasiak

Jul 31, 20257 min read

Digital keysSmart lock

Table of Content

  • 🔐 What Is a Digital Key?

  • 🧭 How Do Digital Keys Work?

  • 🛠️ Setting Up a Digital Key

  • 📂 Managing Digital Keys

  • 🏘️ Common Use Cases for Digital Key Sharing

  • 🔄 Digital Key Compatibility

  • 🔐 Are Digital Keys Secure?

  • ⚙️ Pros and Cons of Digital Keys

  • 🧩 Troubleshooting Common Issues

  • 💡 Best Practices for Digital Key Use

  • 🧠 Future Trends in Digital Keys (2025–2030)

  • ✅ Conclusion

In a world rapidly embracing smart technologies, digital keys are transforming how we access buildings, vehicles, and even digital platforms, thanks to advanced technology such as NFC technology that enables secure, contactless access. But what exactly is a digital key, and how does it work?

🔐 What Is a Digital Key?

digital key is an electronic credential that grants access to a physical or digital space without using a traditional metal key. Instead of inserting a key into a lock, users authenticate access via a smartphone, smartwatch, keycard, or secure app using technologies such as Bluetooth, NFC, Wi-Fi, or QR codes. A digital car key is a specific type of digital key used for vehicles, allowing features like remote locking, unlocking, and starting the vehicle via a smartphone.

Whether you’re entering your office, unlocking your car, or managing short-term rentals – digital keys offer seamless, contactless, and secure access. Compatibility with digital keys depends on the device's operating system and phone model, as certain features require specific OS versions and supported phone models to function properly with technologies like NFC, BLE, or UWB.

🧭 How Do Digital Keys Work?

Digital keys rely on communication between two endpoints:

  1. The user device (smartphone, wearable, card).
  2. The receiver system (e.g., smart lock, vehicle system, or access panel).

They use one or more of the following technologies:

  • Bluetooth Low Energy (BLE): Unlocks a door when you’re near, without needing to open an app.
  • Near-Field Communication (NFC): Tap your phone or card on a sensor (used in Apple Wallet or hotel room cards).
  • QR Codes: Temporary access for guests via scannable digital keys.
  • Wi-Fi / Cloud APIs: Central management of access across multiple locations (ideal for business use).
  • Ultra Wideband (UWB) / Ultra wideband uwb: Enables proximity-based unlocking and secure access, allowing hands-free entry and ignition by detecting the precise location of the user device near the vehicle.

Some systems use an nfc key card for pairing and registration, providing an additional layer of digital security and convenient vehicle access.

To ensure security, most digital key systems implement:

  • Two-factor authentication
  • End-to-end encryption
  • Access logs and remote revocation

Registering a digital key requires a stable network connection, and each digital key can be linked to only one car.

🛠️ Setting Up a Digital Key

Getting started with a digital key is straightforward, but it’s important to ensure you have a compatible device and vehicle. Most digital key features are available on select vehicle models from leading car manufacturers like Hyundai, Genesis, and Mercedes-Benz. To begin, check with your car manufacturer to confirm that your vehicle supports digital keys and that your Android phone or iPhone is compatible.

Next, download a wallet app such as Google Wallet or Samsung Wallet, which are commonly used to manage digital keys. Follow the in-app instructions to pair your device with your vehicle—this process may involve entering an activation code or completing a registration step. Once the setup is complete, your digital key will be securely stored on your smartphone, allowing you to lock, unlock, and even start your car directly from your device. With the digital key feature enabled, you can enjoy seamless access to your vehicle without needing a physical key.

📂 Managing Digital Keys

Managing your digital keys is simple and flexible, especially when it comes to sharing access with others. Many car manufacturers, such as Hyundai, offer the ability to share your digital key with up to three additional people. For example, Hyundai Digital Key and Genesis Digital Key 2 allow you to send a shared key to friends or family through your wallet app, including Google Wallet, Samsung Wallet, or Apple Wallet.

To manage your shared keys, open your wallet app and navigate to the key settings. Here, you can add or remove users, adjust permissions for each shared key, and set requirements like screen lock for added security. This makes it easy to control who can access your vehicle and to update or revoke access at any time. Whether you’re lending your car to a friend or managing family access, digital keys put you in control of your vehicle’s security and convenience.

🏘️ Common Use Cases for Digital Key Sharing

1. Smart Homes:Easily share access with family or cleaners via mobile app. Control from anywhere.

2. Office Buildings:Replace outdated keycards with mobile credentials managed via cloud-based dashboards.

3. Hotels and Vacation Rentals:Generate time-limited keys for guests. No need for front-desk check-ins.

4. Self-Storage Facilities:Let customers access storage units via smartphone 24/7. No physical lock replacements needed.

5. Vehicles:Digital car keys from Apple, BMW, or Tesla enable passive entry features that automatically unlock the car doors when you approach, providing seamless access without manually unlocking. Users can unlock and start select vehicles in select markets using their phone, often by tapping or holding it against the door handle, which serves as the NFC contact point. After authentication, simply press the start button to drive. Even if your phone's battery is depleted, some features may still work for a limited time. Compatibility depends on the phone model, with special features for Samsung devices and iPhone users, including integration with Samsung Wallet and Apple Wallet. Digital key sharing allows you to send a key via text message, set permissions, and remotely check if your car is locked or unlocked.

🔄 Digital Key Compatibility

Digital key compatibility depends on several factors, including your car manufacturer, vehicle model, and the device you use. Not all vehicles or smartphones support digital keys, so it’s essential to verify compatibility before getting started. For instance, Hyundai Digital Key works with select Android devices, while Genesis Digital Key 2 supports certain Samsung, Google, and Apple devices.

To check if your vehicle and device are compatible, visit your car manufacturer’s website or consult your owner’s manual. You can also find compatibility information within your wallet app. Ensuring that your vehicle model and mobile device are supported will help you take full advantage of digital keys and avoid any setup issues.

🔐 Are Digital Keys Secure?

Digital keys are more secure than traditional keys, especially when combined with authentication and logging:

  • You can revoke access remotely if a phone is lost.
  • Logs provide audit trails for sensitive locations.
  • Encryption ensures that no one can intercept your digital key in transit.

⚠️ Note: The security depends on the implementation. Choose trusted vendors with ISO or GDPR-compliant systems.

⚙️ Pros and Cons of Digital Keys

ProsCons
✅ Remote access control❌ Requires power & connectivity
✅ No lost or copied keys❌ Potential software vulnerabilities
✅ Audit logs and usage history❌ User training may be needed
✅ Temporary access for guests❌ Device compatibility issues

🧩 Troubleshooting Common Issues

If you encounter problems with your digital key, there are a few steps you can take to resolve them quickly. First, make sure your device and vehicle are compatible and that you have installed the latest software updates. If you’re having trouble locking or unlocking your car, check that your device is within range and that Bluetooth or NFC is enabled.

For issues with starting your car, confirm that your device is properly paired and that the wireless charger in your vehicle is working correctly. Restarting your phone or your vehicle can often resolve minor connectivity issues. If problems persist, consult your owner’s manual or reach out to your car manufacturer’s support team for more assistance. Staying up to date and following these troubleshooting tips will help ensure your digital key works smoothly.

💡 Best Practices for Digital Key Use

To maximize the convenience and security of your digital key, follow these best practices. Always keep your device charged—a dead phone battery can prevent you from accessing your vehicle. Using a wireless charger while driving can help ensure your device is ready when you need it.

For enhanced security, set up a screen lock or enable fingerprint or face recognition on your device before using your digital key. Regularly update your wallet app and device software to benefit from the latest features and security improvements. Finally, remember that you need to be within range of your vehicle to lock, unlock, or start it using your app. By following these tips, you can enjoy reliable, secure access to your car with your digital key.

🧠 Future Trends in Digital Keys (2025–2030)

  • Apple Wallet expansion for more access types
  • Biometric integration (face/fingerprint unlock)
  • Offline access protocols for areas without coverage
  • Integration with AI to analyze access patterns and detect anomalies

✅ Conclusion

Digital keys offer a smarter, safer, and more flexible way to manage access – whether you're securing a home, office, or self-storage unit. With growing adoption across industries and devices, it's only a matter of time before traditional keys become obsolete.

Published on July 31, 2025

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Alexander Stasiak

CEO

Digital Transformation Strategy for Siemens Finance

Cloud-based platform for Siemens Financial Services in Poland

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