Tokenization can reduce card-data exposure and improve payment operations, but the token strategy matters when an ISV or platform wants to change processors. Provider-specific vaults, token portability, network tokens, lifecycle management, migration rights, data ownership, and contract language can turn a processor breakup into an expensive infrastructure project.

"Tokenization” gets thrown around a lot in payments - often incorrectly. We're cutting through the noise to explain the difference between vaulting, Credential-on-File (COF), and true network tokenization, and how each impacts interchange, authorization rates, compliance, and recurring transaction performance.