It NOT GIVE a work permit in EU and of course not give a permission to travel in schengeng.
It's simply an ID card. The main difference is that: - Normally in other EU countries for have an ID card for services, you must live there, while with e-residency you can do have and do all the stuff remotely. - It's pretty useless, you can google it and see how had a lot of hype, but in real case uses, it's useless (example: yes you can open a company remotely, but if you don't live in estonia, is a mess with taxes...and having an e-residency, doesn't give you a valid visa for live+work there...so often you can't move to estonia to work, even if you have a company opened in estonia)