--- title: Data tokenization url: "https://www.unknowngravity.com/en/servicios/tokenizacion-de-datos" site: Unknown Gravity published: "2025-04-15T13:51:55+00:00" modified: "2026-07-15T10:51:34+00:00" language: en-US description: Data tokenization is a technique increasingly used by companies that handle sensitive information, such as customer, employee or payment card data. section: "Home > Data tokenization" --- # Data tokenization > Data tokenization means representing access, use or exploitation rights over datasets as tokens, leaving a traceable record of who consults them. It relies on smart contracts and must comply with the GDPR and the Data Governance Act. Unknown Gravity designs and deploys these systems. REGULATORY COMPLIANCE NO VALUE OUTSIDE THE SYSTEM SCALABILITY AND COMPATIBILITY [Book a meeting](/en/meeting) Data tokenization means representing access, use or exploitation rights over datasets as tokens, leaving a traceable record of who consults them. It relies on smart contracts and must comply with the GDPR and the Data Governance Act. Unknown Gravity designs and deploys these systems. **D****ata tokenization** is a technique increasingly used by companies that handle sensitive information, such as customer, employee or payment card data. Its purpose is clear: **protect real data by replacing it with tokens that have no value outside the system that generates them**. Reversal is only possible with access to the vault holding the original data, so that vault concentrates the risk and is protected accordingly (Art. 32 of Regulation (EU) 2016/679). ## 01 / Definition of data tokenization Data tokenization is a process of **computer security** which consists of replacing sensitive information — such as card numbers, addresses or personal data — with a unique and random identifier (*Token*). This token maintains the same format as the original data, but **it has no functional value outside the system that generated it**. Unlike encryption, tokens **cannot be reversed mathematically**, providing an additional layer of protection against attacks or breaches. ### How does data tokenization work? 1. A system receives sensitive data, such as a credit card number. 2. Instead of storing the original data, a *Token* unique alphanumeric. 3. This token is stored and used in operating systems, while the original data is securely stored in a central repository (often called *Token vault*). 4. Only authorized systems can reconnect a token with its real data, through highly controlled processes. So, even if someone accessed the system and obtained the tokens, **I wouldn't have useful access to real information**, since there is no practical way to reverse them. ### Why is tokenization used? - **Protecting sensitive data:** It prevents sensitive information from being exposed in the event of a cyberattack or internal breach. - **Reducing the risk of fraud:** Tokens are not useful outside the system where they are generated, so they cannot be exploited by cybercriminals. - **Legal Compliance:** Helps organizations comply with global privacy and security regulations - **Increased customer trust:** Demonstrating that information is protected builds reputation and loyalty. ## 02 / Types of tokenization and their applications Tokenization can be applied in a variety of ways depending on the type of information you want to protect and the sector in which it is used: ### Tokenization in payment and e-commerce systems In the financial sector and e-commerce, tokenization makes it possible to carry out **secure transactions** without directly storing credit or debit card details. Platforms such as Apple Pay, Google Pay and many payment gateways already use this system to: - Minimize the risk of card theft - Ensure that the real number of the card never touches the online store's server. - Comply with safety standards such as **PCI DSS**. ### Tokenization in the protection of personal data Healthcare, HR, or legal services companies use tokenization to protect **names, DNIs, emails, medical records and other sensitive data**. This allows: - Work with pseudonymized data during analysis, cutting exposure. If the original value can be recovered using the additional information held in the vault, it is still personal data and the GDPR applies in full. Tokenization lowers the risk, it does not take the data out of the regulation (Art. 4(5) and Recital 26 of Regulation (EU) 2016/679). - Minimize the impact of a potential information leak. - Comply with the **General Data Protection Regulation (GDPR)** and other privacy regulations. ## 03 / Benefits of Data Tokenization Applying tokenization in your company not only reinforces security, but also provides very important operational and legal advantages: ### Reducing security risks By not storing real data, companies reduce **significantly its attack surface**. Even if unauthorized access occurs, tokens have no value on their own. ### Regulatory compliance and regulations Tokenization is one of the technical measures the GDPR recognizes for protecting data, alongside encryption. It helps you comply, but it is not enough on its own: you still need a lawful basis to process, and you must inform data subjects, set retention periods and handle their rights. In Spain both Regulation (EU) 2016/679 and Ley Orgánica 3/2018 (BOE-A-2018-16673) apply. CCPA and HIPAA only come into play if you operate in the United States; PCI DSS is not a law, it is a card-industry standard (Arts. 25 and 32 of Regulation (EU) 2016/679). In addition, it demonstrates a proactive commitment to privacy, which can make a difference in tenders, audits and certification processes. FAQ ## Frequently asked questions **What's the difference between tokenization and encryption?** Tokenization replaces the sensitive value with a token that has no mathematical relationship to the original; encryption transforms it with an algorithm that is reversed with a key. A token can only be reversed with access to the system that generated it. **Can tokens be used outside the system where they were generated?** No. Tokens have no value or meaning outside the secure environment that generated them. They cannot be used in other applications or platforms. **What type of data can be tokenized?** Any sensitive data: card numbers, emails, addresses, IDs, medical records, tax data, etc. This page is informative. It is not legal, tax or investment advice, and it does not replace a case-by-case review. The rules cited change: check the current version on [BOE](https://www.boe.es) and [EUR-Lex](https://eur-lex.europa.eu). RELATED SERVICES [Web3 Development](/en/servicios/desarrollo-web3) [Blockchain consulting for companies](/en/servicios/consultoria-blockchain) [Development of smart contracts](/en/servicios/company-development-smart-contracts) [Token development](/en/servicios/desarrollo-de-tokens) [Product traceability](/en/servicios/sistema-trazabilidad-de-productos) [All blockchain services](/en/servicios)