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drevispas
drevispas

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Payment Tokenization Terminology

I had a lot of trouble with new terminologies when I took part in Samsung Pay. Someone may be in the same situation somewhere. I will introduce very basic words here.

Tokenization: It's not about bus token.

  • replaces a real card an account number; a virtual one-time card?
  • is bound to a single merchant(shop)
  • need a ID&V of cardholder to create it

Token Components

  • 15-19 digits + expiration date
  • cryptogram that is unique to each transaction

PAN (Primary Account Number)

  • 13-15 digits representing a card account number
  • A single PAN may be associated with multiple tokens

Card Issuers

  • are banks who issue credit cards
  • give cardholders(card users) credit for spending
  • send merchants payments for purchases

Major issuers

  • Amex, Discover: issuer and payment network at the same time
  • BoA, Capital One, Citi, Wells Fargo, Barclay, and so on

Major Card Networks

  • Visa, Mastercard, Amex, Discover, and so forth

Top comments (1)

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Max Bersh

Payment tokenization is a key technology for enhancing security in modern payment systems. In simple terms, it is the process of replacing sensitive data (such as a card number) with a unique token that has no value outside of a specific transaction. This significantly reduces the risk of data leakage, as tokens are useless to intruders.

If you are considering implementing this technology for your business, you should pay attention to linkpay. The platform offers powerful tools for secure payment processing, including tokenization, which ensures the highest level of data protection and customer trust.

Understanding and using such technologies is a step into the future of the payment industry!