diff --git a/bindings/grpc/proto/utils.proto b/bindings/grpc/proto/utils.proto
new file mode 100644
index 0000000000..87ea3f7054
--- /dev/null
+++ b/bindings/grpc/proto/utils.proto
@@ -0,0 +1,23 @@
+// Copyright 2020-2024 IOTA Stiftung
+// SPDX-License-Identifier: Apache-2.0
+
+syntax = "proto3";
+package utils;
+
+message DataSigningRequest {
+    // Raw data that will be signed.
+    bytes data = 1;
+    // Signing key's ID.
+    string key_id = 2;
+}
+
+message DataSigningResponse {
+    // Raw data signature.
+    bytes signature = 1;
+}
+
+// Service that handles signing operations on raw data.
+service Signing {
+    rpc sign(DataSigningRequest) returns (DataSigningResponse);
+}
+
diff --git a/bindings/grpc/src/services/mod.rs b/bindings/grpc/src/services/mod.rs
index f632feb91a..00abe17ce1 100644
--- a/bindings/grpc/src/services/mod.rs
+++ b/bindings/grpc/src/services/mod.rs
@@ -7,6 +7,7 @@ pub mod domain_linkage;
 pub mod health_check;
 pub mod sd_jwt;
 pub mod status_list_2021;
+pub mod utils;
 
 use identity_stronghold::StrongholdStorage;
 use iota_sdk::client::Client;
@@ -21,6 +22,7 @@ pub fn routes(client: &Client, stronghold: &StrongholdStorage) -> Routes {
   routes.add_service(domain_linkage::service(client));
   routes.add_service(document::service(client, stronghold));
   routes.add_service(status_list_2021::service());
+  routes.add_service(utils::service(stronghold));
 
   routes.routes()
 }
diff --git a/bindings/grpc/src/services/utils.rs b/bindings/grpc/src/services/utils.rs
new file mode 100644
index 0000000000..0e7d2fc570
--- /dev/null
+++ b/bindings/grpc/src/services/utils.rs
@@ -0,0 +1,67 @@
+// Copyright 2020-2024 IOTA Stiftung
+// SPDX-License-Identifier: Apache-2.0
+
+use _utils::signing_server::Signing as SigningSvc;
+use _utils::signing_server::SigningServer;
+use _utils::DataSigningRequest;
+use _utils::DataSigningResponse;
+use identity_iota::storage::JwkStorage;
+use identity_iota::storage::KeyId;
+use identity_iota::storage::KeyStorageError;
+use identity_stronghold::StrongholdStorage;
+use tonic::Request;
+use tonic::Response;
+use tonic::Status;
+
+mod _utils {
+  tonic::include_proto!("utils");
+}
+
+#[derive(Debug, thiserror::Error)]
+#[error("Key storage error: {0}")]
+pub struct Error(#[from] KeyStorageError);
+
+impl From<Error> for Status {
+  fn from(value: Error) -> Self {
+    Status::internal(value.to_string())
+  }
+}
+
+pub struct SigningService {
+  storage: StrongholdStorage,
+}
+
+impl SigningService {
+  pub fn new(stronghold: &StrongholdStorage) -> Self {
+    Self {
+      storage: stronghold.clone(),
+    }
+  }
+}
+
+#[tonic::async_trait]
+impl SigningSvc for SigningService {
+  #[tracing::instrument(
+    name = "utils/sign",
+    skip_all,
+    fields(request = ?req.get_ref())
+    ret,
+    err,
+  )]
+  async fn sign(&self, req: Request<DataSigningRequest>) -> Result<Response<DataSigningResponse>, Status> {
+    let DataSigningRequest { data, key_id } = req.into_inner();
+    let key_id = KeyId::new(key_id);
+    let public_key_jwk = self.storage.get_public_key(&key_id).await.map_err(Error)?;
+    let signature = self
+      .storage
+      .sign(&key_id, &data, &public_key_jwk)
+      .await
+      .map_err(Error)?;
+
+    Ok(Response::new(DataSigningResponse { signature }))
+  }
+}
+
+pub fn service(stronghold: &StrongholdStorage) -> SigningServer<SigningService> {
+  SigningServer::new(SigningService::new(stronghold))
+}
diff --git a/bindings/grpc/tests/api/main.rs b/bindings/grpc/tests/api/main.rs
index e187cf7f1c..af4929bfae 100644
--- a/bindings/grpc/tests/api/main.rs
+++ b/bindings/grpc/tests/api/main.rs
@@ -10,3 +10,4 @@ mod helpers;
 mod jwt;
 mod sd_jwt_validation;
 mod status_list_2021;
+mod utils;
diff --git a/bindings/grpc/tests/api/utils.rs b/bindings/grpc/tests/api/utils.rs
new file mode 100644
index 0000000000..9c863bf3de
--- /dev/null
+++ b/bindings/grpc/tests/api/utils.rs
@@ -0,0 +1,48 @@
+// Copyright 2020-2024 IOTA Stiftung
+// SPDX-License-Identifier: Apache-2.0
+
+use _utils::signing_client::SigningClient;
+use _utils::DataSigningRequest;
+use identity_iota::verification::jws::JwsAlgorithm;
+use identity_storage::JwkStorage;
+use identity_storage::KeyType;
+use identity_stronghold::StrongholdStorage;
+
+use crate::helpers::make_stronghold;
+use crate::helpers::TestServer;
+
+mod _utils {
+  tonic::include_proto!("utils");
+}
+
+const SAMPLE_SIGNING_DATA: &'static [u8] = b"I'm just some random data to be signed :)";
+
+#[tokio::test]
+async fn raw_data_signing_works() -> anyhow::Result<()> {
+  let stronghold = StrongholdStorage::new(make_stronghold());
+  let server = TestServer::new_with_stronghold(stronghold.clone()).await;
+
+  let key_id = stronghold
+    .generate(KeyType::from_static_str("Ed25519"), JwsAlgorithm::EdDSA)
+    .await?
+    .key_id;
+
+  let expected_signature = {
+    let public_key_jwk = stronghold.get_public_key(&key_id).await?;
+    stronghold.sign(&key_id, SAMPLE_SIGNING_DATA, &public_key_jwk).await?
+  };
+
+  let mut grpc_client = SigningClient::connect(server.endpoint()).await?;
+  let signature = grpc_client
+    .sign(DataSigningRequest {
+      data: SAMPLE_SIGNING_DATA.to_owned(),
+      key_id: key_id.to_string(),
+    })
+    .await?
+    .into_inner()
+    .signature;
+
+  assert_eq!(signature, expected_signature);
+
+  Ok(())
+}