![\"INTERAC](\"https:\/\/innovation.interac.ca\/wp-content\/uploads\/2016\/11\/iStock_51110530_XLARGE_small.jpg\")
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In the last of three blog posts on our pioneering INTERAC TSP offering, we look at the range of applications that tokenization will be used for.<\/p>\n
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Tokenization \u2013 the substitution of a real personal account number (PAN) with a unique, randomly-generated number in order to conduct a digital payment transaction securely \u2013 is a technology with clear benefits for point-of-sale transactions. The consumer is able to shop in the confidence that his or her personal financial information is not being shared with the merchant, nor is it being communicated over local networks (NFC, wi-fi, the store\u2019s LAN) that might be monitored by hackers. Likewise, a merchant can feel confident that a customer\u2019s identity has been validated by a financial institution, and that the security and liability burden that comes from collecting actual PANs need not be shouldered.<\/p>\n
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These benefits, however, are not limited to points of sale. For example, an increasing amount of commerce is being conducted within apps on smart phones. On Facebook, you can order goods directly from a merchant\u2019s page \u2013 or from its Instagram feed, or even from its customer service chatbot \u2013 and naturally a consumer will want such a process to be as secure as possible. Tokenization allows a consumer to pay for an In-App purchase using their digital wallet and the token it contains, rather than by providing the merchant \u2013 and the app itself \u2013 with their PAN.<\/p>\n
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Just around the corner is a new world of Internet-enabled objects \u2013 some already familiar to us in the form of web-connected baby monitors, for example. This Internet-of-Things (IoT) brings with it an enormous range of payment possibilities, from cars being able to automatically pay tolls as they pass over a bridge (or to pay for gas once they\u2019ve filled up), to baggage tags authorized to pay luggage fees as they move down a conveyor belt. Such a world implies a much wider distribution of personal payment capabilities than we\u2019ve ever experienced before \u2013 and at the same time, a much wider security challenge, as each one of our IoT objects would potentially need to carry our personal financial information in order to execute the transactions we\u2019ve authorized.<\/p>\n
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Tokenization eliminates this problem for the Internet of Things, just as it does for transactions using a smart phone at the point of sale. Consumers will be reassured to know that their PANs are not being replicated on and communicated by all of the IoT objects they own, and merchants will be reassured that the payment details they are receiving from so many objects have been authenticated, and only have value for the transaction \u2013 not beyond it.<\/p>\n
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Wherever payments are being made digitally between parties that do not participate in the same closed payment network, in fact, there is a valuable security role to be played by tokenization. Which is why Interac TSP may well be securing an ever-larger proportion of your business\u2019s revenues \u2013 or that of your clients\u2019 businesses \u2013 in the near future.<\/p>\n
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In the last of three blog posts on our pioneering INTERAC TSP offering, we look at the range of applications that tokenization will be used for. Tokenization \u2013 the substitution of a real personal account number (PAN) with a unique, randomly-generated number in order to conduct a digital payment transaction securely \u2013 is a…<\/p>\n","protected":false},"author":9,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[150,155],"tags":[],"posts_format":[112],"class_list":["post-12502","post","type-post","status-publish","format-standard","hentry","category-creation-de-jetons","category-fournisseur-de-service-de-jeton-interac","posts_format-article-fr"],"acf":[],"yoast_head":"\n