U.S. Bank Wells Fargo Files Data Tokenization Patent

Institutional bank Wells Fargo applied for a token-based patent on July 17, 2018, detailing a tokenization system method that protects customer data.

According to a filing published by the U.S. Patent and Trademark Office, the San Francisco-based bank seeks to create a system that locates various data elements, such as collated value, graphic, or document, in a private database accessible and protected by an ingenious tokenization process.

As outlined in the patent, Wells Fargo describes an encryption method to process an "Unrestricted" data element into a "Restricted" token which can only be accessed by an authorized user.

Due to the use of tokens, the process can authenticate data origins, maintain data integrity, control ownership confidentiality, and access and prevent any unscrupulous modifications to the values.

Data owners are enabled with relevant tools to select a "Tokenization output" for ensuring accurate content delivery, i.e., the system administrators can choose the type of file and amount to be used, including blurring out or randomizing text in sections irrelevant to the viewer's usage.

"The data element tokenization system provides technical solutions to the computer-centric and internet-centric problems associated with conventional data management systems."

The bank added its "Data element tokenization system," according to various arrangements, effectively provides an efficient mechanism to the industry by providing a flexible, yet restrictive, system of publicly and globally accessible data.

For the uninitiated, the tokenization process involves substituting a data element for a "Token" proxy which eliminates the need to share the sensitive underlying data.

Datasets do not have to adhere to a particular data type for use in a token system, as the system matches a plurality of datasets with a digital signature - which allows for their secure location during an information search.

Although the Wells Fargo patent does not explicitly use blockchain technology, the bank has burrowed modern cryptography and data tokenization techniques used by cryptocurrencies.