OAuth or JWT? Everything Developers Need to Know in 2025

Nile BitsNile Bits
5 min read

https://www.nilebits.com/blog/2025/05/oauth-jwt-everything-need-know-2025/

In contemporary software development, authorization and authentication are essential elements. OAuth and JWT (JSON Web Tokens) are two of the most widely used protocols and standards available to developers today. Despite their frequent usage together, they have distinct functions and cannot be substituted for one another. This article gives a thorough side-by-side analysis of OAuth and JWT, explaining how each functions, when to use it, and why it's important for contemporary application security.

Whether you're developing a microservices architecture, a mobile backend, or a SaaS product, understanding the key differences and practical implementations of OAuth and JWT will help you design more secure and scalable systems.


What is OAuth?

OAuth (Open Authorization) is an open standard protocol for authorization, commonly used to grant third-party applications delegated access to resources without exposing user credentials.

Key Features

  • Delegated access (authorization without sharing passwords)

  • Token-based access (Access Tokens)

  • Supports multiple grant types (Authorization Code, Client Credentials, Password, etc.)

  • Often used in conjunction with OpenID Connect for authentication

Common Use Case

Allowing a user to log in to your application using their Google or Facebook account.


What is JWT?

JWT (JSON Web Token) is an open standard (RFC 7519) for securely transmitting information between parties as a JSON object. It is commonly used for authentication and information exchange.

Key Features

  • Self-contained and stateless

  • Base64-encoded JSON object with a signature

  • Supports HMAC or RSA encryption

  • Commonly used in stateless authentication mechanisms

Common Use Case

Storing user session data in a signed token to avoid database lookups for each request.


OAuth and JWT: Are They the Same?

No. OAuth is a protocol, and JWT is a token format.

OAuth can use JWT as the format for access tokens, but it doesn’t have to. Similarly, JWTs can be used independently from OAuth for custom authentication systems.


When to Use OAuth

Use OAuth when:

  • You need delegated authorization

  • You’re exposing APIs to third-party developers

  • You require scope-based access to resources

  • You need to separate authentication (OpenID Connect) and authorization


When to Use JWT

Use JWT when:

  • You want stateless session management

  • You want to embed user claims directly in a token

  • You need fast, scalable authentication

  • You’re implementing Single Sign-On (SSO)


OAuth vs. JWT: Tabular Comparison

FeatureOAuthJWT
DefinitionAuthorization protocolToken format for authentication
PurposeDelegated access to APIsTransmitting identity and claims
StatelessCan be stateful or statelessStateless
Token FormatVaries (can be JWT, opaque, etc.)Always JWT format
Used ForAuthorizationAuthentication and Information exchange
Token StorageServer or clientClient
RevocationRequires state (e.g., token blacklist)Difficult (requires token expiration)

OAuth with JWT: How They Work Together

In most modern systems, OAuth 2.0 issues JWTs as access tokens. This combines the delegation power of OAuth with the stateless nature of JWT.

Example Flow:

  1. User logs in via Google (OAuth)

  2. Google issues an access token (JWT)

  3. Your app validates and parses the JWT

  4. User is granted access based on the token's claims


Real-World Example: Using OAuth with JWT in Node.js

Here's a basic example using Node.js, Express, and passport.js with Google OAuth and JWT.

1. Install Required Packages

npm install express passport passport-google-oauth20 jsonwebtoken dotenv

2. OAuth Strategy Setup

const passport = require('passport');
const GoogleStrategy = require('passport-google-oauth20').Strategy;
const jwt = require('jsonwebtoken');

passport.use(new GoogleStrategy({
  clientID: process.env.GOOGLE_CLIENT_ID,
  clientSecret: process.env.GOOGLE_CLIENT_SECRET,
  callbackURL: "/auth/google/callback"
}, (accessToken, refreshToken, profile, done) => {
  const token = jwt.sign({
    id: profile.id,
    name: profile.displayName
  }, process.env.JWT_SECRET, { expiresIn: '1h' });

  return done(null, token);
}));

3. Express App Integration

const express = require('express');
const passport = require('passport');
require('./auth');

const app = express();

app.get('/auth/google', passport.authenticate('google', {
  scope: ['profile']
}));

app.get('/auth/google/callback', 
  passport.authenticate('google', { session: false }),
  (req, res) => {
    res.send(`Your token: ${req.user}`);
  }
);

app.listen(3000, () => console.log('Server running on http://localhost:3000'));

JWT Verification in API Gateway

const jwt = require('jsonwebtoken');

function verifyJWT(req, res, next) {
  const token = req.headers.authorization?.split(' ')[1];
  if (!token) return res.sendStatus(403);

  try {
    const decoded = jwt.verify(token, process.env.JWT_SECRET);
    req.user = decoded;
    next();
  } catch {
    res.sendStatus(401);
  }
}

Security Considerations

  • JWT

    • Always use HTTPS to prevent token interception

    • Set short expiration times

    • Avoid storing sensitive data in the token

  • OAuth

    • Always validate redirect URIs

    • Implement proper token revocation

    • Consider using PKCE for public clients

References


Conclusion

Despite frequently being used interchangeably, OAuth and JWT have different but complimentary functions. JWT offers a scalable, self-contained method of transmitting identification, whereas OAuth gives safe delegated access. They serve as the foundation for contemporary authentication systems.

Understanding their roles, strengths, and limitations is crucial for any developer building secure, scalable, and performant applications. Armed with this knowledge, you're better equipped to design systems that are both user-friendly and secure.

https://www.nilebits.com/blog/2025/05/oauth-jwt-everything-need-know-2025/

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Nile Bits
Nile Bits

Nile Bits is a software company, focusing on outsourcing software development and custom software solutions. Our outsourcing software services and solutions are designed with a focus on secure, scalable, expandable and reliable business systems. Via our low cost, high quality and reliable outsourcing software services, we provide to our clients value for money and therefore client satisfaction.