Question 1

What does a network token replace?

Accepted Answer

The PAN (primary account number). Network tokens are scheme-issued surrogate values that replace the underlying PAN, often bound to a specific device, merchant, or channel.

Question 2

Why is tokenization considered an effective fraud control?

Accepted Answer

Tokens are context-bound and less useful if intercepted. A token tied to a specific merchant or device has little value if stolen because it cannot be reused in other contexts.

Question 3

What is a 'tokenized deposit'?

Accepted Answer

A bank deposit represented on a shared programmable ledger. Tokenized deposits represent commercial bank money on a shared ledger, enabling programmable settlement while preserving the underlying claim on the bank.

Tokenization Essentials

What does a network token replace?

Why is tokenization considered an effective fraud control?

What is a 'tokenized deposit'?