In Java, identifiers are names given to variables, classes, methods, etc. According to the Java naming conventions, the first character of an identifier must be a letter (a-z, A-Z), underscore (_), or a dollar sign ($). Subsequent characters can be letters, digits (0-9), underscores, or dollar signs.
However, there are certain restrictions on using digits as the first character of an identifier. Digits (0-9) are not allowed as the first character of an identifier, but they can be used as the second or subsequent characters.
So, to answer your question, the correct statement is: Digits (0-9) may be used as the second character of an identifier, but not as the first character of an identifier in Java.