PaymentsJournal
SUBSCRIBE
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
No Result
View All Result

Is Tokenization the Future of Payment Security?

Joseph Walent by Joseph Walent
August 26, 2016
in Analysts Coverage
0
Mobile banking
0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

The prospect of wider use of tokenization to reduce or limit instances of fraud has a variety of aspects in its favor. The article provides a solid introduction to the basic concepts and benefits of the use of tokens in the place of actual card data. The ability to retain customer identification for rewards programs is a main consideration.

Also, every time a customer uses his/her credit or debit card at a merchant’s store, the same token number is given to the merchant’s system. This makes it easy for customers to pay with one click for future purchases at a merchant’s store. It also makes it possible to create a buying history on the customer’s account that could be used to start a loyalty program.

Further, as we move to more internet connected appliances, the possibility for said devices to order necessary items (e.g. a dishwasher orders soap for its dispenser). Being able to provide limited purchasing power and venue particular tokenized payment credential will be an important way to protect both the device owner and the retailer. However, tokenization will act as one part in a larger payment security strategy for financial institutions, retailers and consumers.

Overview by Joseph Walent, Senior Analysts, Emerging Technologies at Mercator Advisory Group

Read the full story here

Tags: Fraud Risk and Analytics
0
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

    Analyst Coverage, Payments Data, and News Delivered Daily

    Sign up for the PaymentsJournal Newsletter to get exclusive insight and data from Javelin Strategy & Research analysts and industry professionals.

    Must Reads

    Digital Wallet Use Delivers on Convenience and Security

    Digital Wallet Use Delivers on Convenience and Security

    May 30, 2023
    5 Ways to Protect Your Financial Institution from a Cyberattack

    5 Ways to Protect Your Financial Institution from a Cyberattack

    May 26, 2023
    traditional banks

    How Traditional Banks Can Modernize Without Risk

    May 25, 2023
    identity fraud

    Javelin’s Identity Fraud Study Highlights the Changing Nature of Fraud

    May 24, 2023
    SASE, security-as-a-service

    Security-as-a-Service Secures
    Distributed IT Models

    May 23, 2023
    mule. real-time

    Early Detection of Mule Activity Requires Real-Time Solutions

    May 22, 2023
    embedded finance, ecommerce

    How Retailers Can Enter the World of Embedded Finance Confidently 

    May 19, 2023
    cross-border

    Cross-Border Trade is a Cinch with the Right Payments Partner

    May 18, 2023

    Linkedin-in Twitter

    Advertise With Us | About Us | Terms of Use | Privacy Policy | Subscribe
    ©2023 PaymentsJournal.com

    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Videos
    Menu
    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Videos
    • Industry Opinions
    • Recent News
    • Resources
    Menu
    • Industry Opinions
    • Recent News
    • Resources
    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Industry Opinions
    • Faster Payments
    • News
    • Jobs
    • Events
    No Result
    View All Result

      Register to download this complimentary report from Brightwell: