What is Digital Residency?
Digital residency is a government-issued digital identity status that provides certain benefits and services without requiring physical relocation. Unlike traditional residency, which requires you to live in a country, digital residency exists entirely online.
The concept gained prominence with Estonia's e-Residency program (launched 2014), which allows anyone to start and manage an EU-based company remotely. Since then, other countries have launched their own programs, including the Republic of Palau (2022), which focuses on digital identity and crypto applications.
What Digital Residency Is Not
- Not citizenship: You don't become a citizen or get voting rights
- Not physical residency: You don't have the right to live there
- Not a passport: You can't use it for international travel
- Not a tax loophole: You remain tax resident in your home country
What Digital Residency Can Provide
- Government-issued identification document
- Digital identity for online services and verification
- Business formation capabilities (varies by program)
- Banking access (varies by program)
- Tax benefits on income from the issuing country (not your home country)
Digital Residency Topics
Understand the landscape of digital residency programs
Digital Residency Benefits
All the advantages of holding a digital residency in the modern world.
Read moreDigital Residency vs Citizenship
Understanding the difference between digital residency and citizenship.
Read moreDigital Residency vs Visa
How digital residency differs from traditional visas and travel documents.
Read moreDigital Residency for Digital Nomads
Why digital nomads choose digital residency programs.
Read moreDigital Residency Programs Compared
Quick comparison of major programs
| Program | Focus | Cost | Best For |
|---|---|---|---|
| Palau Digital Residency | Digital Identity, KYC | $248-$2,039 | Crypto KYC, Digital Identity |
| Estonia e-Residency | EU Business | €150 (5yr) | EU Company Formation |
| Lithuania e-Residency | EU Business | €150 (5yr) | Fintech, EU Banking |
Prices and features as of January 2025. See our comparison guides for detailed breakdowns.
Frequently Asked Questions
Common questions about digital residency
All information verified as of December 2025. Prices and features subject to change. Always verify current pricing with providers.