What process converts highly sensitive data into a token?

The process that converts highly sensitive data into a token is known as tokenization. Tokenization is designed to enhance data security by replacing the original sensitive data with a non-sensitive equivalent, referred to as a token. The token retains certain characteristics of the original data, allowing it to be utilized in systems without exposing the actual sensitive information.

This process is particularly valuable in scenarios where organizations need to store or transmit sensitive data such as credit card numbers, social security numbers, or personal identifiable information (PII). By replacing this sensitive data with tokens, organizations can significantly reduce the risk of data breaches and unauthorized access, since the tokens cannot be reverse-engineered to retrieve the original data without access to the tokenization system.

In contrast, processes like encryption focus on transforming data into an unreadable format using algorithms and keys but still keep the original data's format and structure. Hashing, on the other hand, generates a fixed-size representation of data that cannot be reversed, making it suitable for integrity checks but not suitable for data retrieval. Obfuscation aims to make data unclear or unintelligible but does not replace it with a separate identifiable token. Tokenization stands out as the specific method for creating tokens while preserving the utility of the data in relevant business processes