Encryption, tokenization,
or masking?
Encryption alters sensitive data mathematically, however the original pattern remains within the new code, meaning that it can be decrypted. The ability to reverse encrypted data is its Achilles Heel. Although complex algorithms do a great job encrypting sensitive data, ultimately all encrypted data can be reversed, and revealed.
Tokenization is designed to be reversible. Data tokenization is the process of substituting sensitive data with random, meaningless placeholders, instead of relying on algorithms, which can ultimately be hacked. If an application or user needs the original, real data value, the algorithm is reversible under certain security conditions and credentials. Data tokenization tools securely store the mapping to the original data separately, so even if hackers manage to get to your tokens, your sensitive data is not compromised.
Data anonymization, or masking, is one-way and not reversible. Entity-based data tokenization tools can be combined with data masking tools whereby sensitive data (such as names, Social Security Numbers, or dates of birth) is replaced with synthetic, format-preserving valid data.