Is tokenization the future of payment security?

At a time where secure stores of data are becoming compromised in increasingly high numbers, seemingly with greater ease than ever before, consumers and businesses are crying out for a more secure method with which to exchange payment information.

“We have had a great deal of merchant interest in our tokenization services, not only from our existing processing merchants, but from potential merchants that need a solution for one click purchases and want to move credit card data out of their own environment,”

Tricia Lines Hill, SVP of BD and Marketing at First Atlantic Commerce.

Tokenization has been touted as a potential solution to the comparatively more exploitable systems that are commonly used now.

“The benefit of our service is that it is available today and only requires a few simple changes by the merchant in order to use it. It doesn’t require the issuer or acquiring banks to do anything. In addition, it can be used as a standalone service by the merchant if they wish to continue to use their current payment service provider,”

FAC COO, Ronnie Viera.

What difference will the implementation of tokenization bring?

Tokenization, described in more detail in our blog ‘Tokenization Security: What you need to know’ is set to improve upon the weaknesses of currently utilised payment security methods:

  • Tokenization is easier to roll out, and wouldn’t require the same level of recertification as the current PCI-DSS.
  • Tokenization is much more secure, as critical information isn’t exchanged in the first place; even if a malicious attack was able to break through existing levels of cyber security, the information recovered would be useless to thieves.

By substituting critical data for otherwise useless tokens, tokenization sidesteps the principle weaknesses of the presently used security methods; removing the prospect of any payment information being compromised in the event of a cyber-attack, and in doing so, removing a tantalising goal from the crosshairs of hackers. In this way, tokenization stands to reduce the number of hacking attempts on financial institutions, full stop.

The future is simpler, and more secure

So it seems that the future of payment security really is tokenization; its adoption would make the security of payments, at both the business and client end of the transaction, considerably more comprehensive. At the same time, the adoption of tokenization would also be far easier for companies in terms of maintenance; being much cheaper and easier for companies to install and use.

“No doubt, tokenization of payment data mitigates the potential impact of a breach. The token can be passed around between applications safely and thus, poses no threat to cardholder data security if stolen. We highly recommend the use of our tokenization services for merchants looking to reduce the costs and scope of PCI, and potential security breaches,”

Tricia Lines Hill, SVP of BD and Marketing at First Atlantic Commerce.


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