Operator issues 10 billionth token, generates $40 billion globally – Business – The Guardian Nigeria News – Nigeria and World News

Visa revealed that its tokens generated over $40 billion in incremental e-commerce revenue for businesses in Nigeria and other parts of the world, while saving $650 million in fraud last year.

Since introducing the technology in 2014, Visa has also issued over 10 billion tokens.
Over the past 10 years, Visa said it has further improved security across its payments ecosystem through tokenization, a technology that replaces sensitive personal information with a cryptographic key that hides sensitive payment data.

Tokenization can be built into any device, making digital payments more secure while being virtually useless to fraudsters.

Today, 29 percent of all transactions processed by Visa use tokens, reflecting their widespread adoption and the trust consumers have in this secure payment method.
Tokenization technology also resulted in a six basis point increase in payment approval rates around the world. Overall, tokenization can reduce fraud rates by up to 60 percent, providing businesses with more efficient transactions and providing much-needed peace of mind for consumers and merchants of all sizes.

Visa Chief Product Officer Jack Forestell said: “Today’s milestone reflects the impact tokenization has had on the entire payments ecosystem since the technology was introduced 10 years ago.

“Tokens have changed the game – securing online payments and paving the way for more innovations – from contactless payments via phone to enabling a future where we have more control over our data in the age of artificial intelligence.”

Visa, which announced the milestone live on the Money20/20 stage in Amsterdam, the Netherlands, recently issued its billionth token in 2020. Due in part to the shift to digital technology during the pandemic, token adoption has accelerated significantly over the past four years.

Currently, over 8,000 issuers have the ability to tokenize, and over 200 markets around the world are equipped with this technology. Over the last 12 months, over 1.5 million e-commerce merchants have transacted using Visa tokens every day.

A recent Visa study found that less than one-third of global consumers feel in control of their data, and only just over one-third fully understand how their data is used. But tokenization could open up a whole new era of personalization and security – one where consumers control their data and approve when and where it can be shared to deliver more personalized experiences.

In the near future, Visa has explained that its data tokens can help merchants and marketplaces use your data in a way that is both transparent and controllable – meaning you decide who gets access to your data (and when (they don’t do this anymore), as well as how your data will be used.