Network Token Assurance Level for Fraud Security
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Solution Overview
Problem
Existing tokenization systems struggle to identify the source or issuer of a payment token, and they lack interoperability between different payment networks, limiting their adoption and integration.
Innovation Solution
The proposed solution involves assigning a token assurance level and associated data to each token, which is used to verify the legitimacy of the token and its issuer. This process includes identification and verification (ID&V) methods to ensure that the token is replacing a valid primary account number (PAN), and the token assurance level is based on the type and entity performing the ID&V.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If payment tokens are used to replace PANs, then security against fraud is improved, but the ability to identify the source or issuer of the token deteriorates
Solution Approach 1:
The token is segmented into multiple components: a token value for transaction processing and a separate token assurance level indicator for identification. This segmentation allows the token to simultaneously provide security through obfuscation while maintaining identifiability through the separate assurance level component, resolving the contradiction between hiding PAN information and identifying token source.
Solution Approach 2:
A token service provider acts as an intermediary between the PAN and the token. The service provider issues tokens with associated assurance levels based on ID&V processes, enabling the system to maintain both security (through tokenization) and identification capability (through the intermediary's assurance level assignment).
2Reliability
If tokens are restricted to a particular network, then token management and security control are improved, but interoperability between payment networks deteriorates
Solution Approach 1:
The token assurance level mechanism is designed to be universal across multiple payment networks. The assurance level indicators and ID&V processes can be implemented across different networks, allowing tokens to maintain their security properties while being recognized and processed by multiple networks, thus achieving both control and interoperability.
Solution Approach 2:
The system uses parameter changes in the form of token assurance levels that can be adjusted based on the network context. Different networks can recognize and interpret the same token structure with appropriate assurance levels, enabling interoperability while maintaining each network's security standards through parameter-based adaptation.
Data Source
AI summary
Embodiments of the invention are directed to methods, apparatuses, computer readable media and systems for providing, along with a token, a token assurance level and data used to generate the token assurance level. At the time a token is issued, one or more Identification and Verification (ID&V) methods may be performed to ensure that the token is replacing a PAN that was legitimately used by a token requestor. A token assurance level may be assigned to a given token in light of the type of ID&V that is performed and the entity performing the ID&V. Different ID&Vs may result in different token assurance levels. An issuer may wish to know the level of assurance and the data used in generating the level of assurance associated with a token prior to authorizing a payment transaction that uses the token.