EMVCo to Develop Digital Checkout Tokenization Specs

EMVCo is working on specifications for using digital tokens for online and mobile transactions in the place of account numbers, making it unnecessary for merchants and digital wallet operators to store the numbers. The specs are designed to be complementary to existing EMV rules for a “cohesive global payments framework,” according to EMVCo. The standards body says it will consider extant standards to encourage industry interoperability and leverage current infrastructure set up by the broader payments ecosystem. EMVCo is planning new data fields to enhance transaction efficiency and prevent fraudulent card account use. It also intends to devise a consistent approach for identifying and confirming the valid use of a token during payment processing, including authorization, capture, clearing, and settlement. “EMVCo’s continued work to define specifications for the payment industry will establish a reliable, interoperable, and secure framework to enable ‘digital commerce’ to achieve its full potential,” says EMVCo’s Dave Meadon.

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From “EMVCo to Hammer Out Specifications for Tokens at the Digital Checkout”
Finextra (01/17/14)