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EMV network tokens these transactions are tokenized, this will result in a more
secure transaction and easier check out process, which
will obviate the need for a dip or tap.

According to Valuates Reports, https://prn.to/3QOcwQG,
the global tokenization market size is projected to reach
$2.7 trillion by 2028, up from $1.1 trillion in 2021. This is a
cumulative average growth rate of 13 percent. In addition
to the enhanced security, the option is growing because of
its convenience.

Tokenization allows consumers to fill in details at
checkout, and complete payment, with one click.
Tokenized transactions are better, faster and easier—and
in some instances, less costly.
Vault

Tokens are created, stored, ciphered and deciphered
inside a token vault. Traditionally, even in a tokenized
transaction, the PAN needed to be exposed in order to
process the transactions. Point-to-point (PTP) encryption
By Ken Musante between the card and the processor for the entire
transaction was identified as a way to further protect
Napa Payments and Consulting transactions; however, PTP is a tax on all players within
the payments ecosystem. It is expensive and difficult to
okenization is what payment providers use to achieve.
replace primary account numbers (PANs) and
other details associated with payment cards Consequently, tokenization is more widely used and
T with a substitute string or token. Tokenization with lesser costs. To support a standard with tokenized
came about because hacked card data became a currency transactions, The PCI Security Standards Council
for thieves. Initially, vendors created their own propri- introduced the EMV Payment Token, which is format-
etary token formats; however, with the formation of EMV preserving and interoperable with legacy processors and
network tokens, the card networks are seeking a single other providers within the payments stream (with the
EMV format to be used universally. appropriate credentials).
Trillion with a T Token versus token

First, some context. By 2023, 80 percent of payments will It is important to understand that not all tokens are
be digital, according to estimates by Forrester. Assuming equivalent. An EMV token, like any token, replaces the
PAN. The token is issued in conjunction with the card
issuer, who integrates with the token service provider
Call me today! (TSP). For its service, the TSP will charge a fee. This
Let me help you fee will be in addition to the gateway charges. Unlike
with your proprietary (that is, third-party or gateway) tokens, EMV
tokens may be ported to a new vendor without the need
advertising for deciphering.
success. Proprietary tokens have another flaw: they must be

707-284-1693 converted back to the PAN for the card transaction to be
completed. Regardless of the vendor, the EMV token need
not be converted to the PAN at any point in the transaction.
Less this be lost, this is an enormous security advantage.
EMV tokens further bring value in that they may allow
the issuer to restrict transactions by domain. For example,
they may be allowed only at an ecommerce merchant or
R R ick Aston only with a specific level of authentication. This further
reduces the value of hacked payment information, as a
Senior Media Partnership Specialist payment token should not be able to be used beyond the
Rick@greensheet.com environment in which it was intended.
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