23 March 2021

Tokenization: the Future of Payment Security

Written By PayXpert in Digital Transformation

Tokenization: the Future of Payment Security

Can you imagine switching from card to token in one click, getting better security for your business?

When tokenization is applied, it enhances data security. It is a process in which a non-confidential equivalent, called a token, replaces an element of confidential information. It has no extrinsic or exportable meaning or value. Having landed in the era of big data, data storage, and management, we could expect no less, as tokenization has become an important security trend.

What is credit card tokenization?

Simply put, it is a system used to increase credit cards' security by converting data into encrypted tokens. Best of all, this is a one-click process. Confidential information is replaced by random numbers that pass through the networks needed to process the payment. This method has many advantages, such as avoiding duplicating a cardholder's data at the digital level.

This is how card tokenization works:

  1. First, the system receives confidential data. IBAN, first and last name, etc.
  2. The data is then centrally stored. Perhaps in a database.
  3. The tokenization system then creates a token associated with the stored information. This is a companion to the confidential token.
  4. Finally, the token is placed in the operational flow and replaces the sensitive data it represents in all operations.

That’s it! Security is in your hands, and more and more digital businesses are using this system to receive payments safely.

Read more about Payment Tokenization with PayXpert: HERE.

Up Next ...
21 November 2024

Nubank Explores Legal Domicile Shift to the UK Amid Regulatory Changes

The decision, reportedly under discussion with the UK government, aligns with the UK’s efforts to attract global tech firms

21 November 2024

Machine Learning: Revolutionizing Fraud Detection in Banking

These technologies enable financial institutions to analyze vast amounts of transaction data in real-time, identify suspicious activities, and minimize false positives...

21 November 2024

MeaWallet Partners with Integrated Finance to Enhance Digital Wallet and Secure Card Data Access for Fintechs

The collaboration is set to strengthen digital wallet payments and secure card data access capabilities for fintechs

20 November 2024

Atome Financial Secures $200M Credit Facility to Drive Growth

Atome plans to use the funds to strengthen its technological capabilities and grow its market presence, particularly among underserved, young consumers...

More in Digital Transformation

Google to invest $2 Billion in Malaysia

30 May 2024

Prime Minister Anwar Ibrahim hailed Google’s investment as a sign of good faith

Zumo unveils the new digital asset landscape at Sibos 2023

20 September 2023

Zumo, the B2B digital assets infrastructure, has launched a ground-breaking ...

FCA to take ‘balanced’ approach in access to cash regime

21 August 2023

Through the Financial Services & Markets Act 2023 (FSMA), the ...

Posted By The Community

How design thinking helps us build products that customers love

10 May 2023

How do you know what customers want or need in a product? Design thinking delivers the answer, especially from a human perspective.

Written By: QUALITANCE

White Papers Digital Transformation

The future of finance

13 December 2022

We are going through perhaps the most exciting period in the modern history of financial services. T...

White Papers Digital Transformation

FinTech and the digital transformation of financial services: implications for market structure and public policy

13 December 2022

Economic frictions such as information asymmetries and economic forces such as economies of scale an...

Articles Digital Transformation

Building a frictionless future

03 August 2021

Capital markets firms are targeting new paths to growth — but they’ll be hard fought Find out m...

Articles Digital Transformation

Emerging challengers and incumbent operators battle for Asia Pacific’s digital banking opportunity

13 July 2021

The digital banking space continues to attract a diverse range of industry players, from incumbent b...

There are no Events in this category