• March 13, 2018
  • News

GDPR: How to Efficiently and Effectively Secure Personal Information


The standards in regards to safeguarding and processing of personal information has been drastically elevated by the European General Data Protection Regulation (GDPR), on the other hand, the tokenization and encryption of important and delicate information before being stored up in the cloud can make the severe requirements easier to meet and help evade weighty fine.


It took four years of development and discussions before The GDPR’s provisions are being authorized on May 25, 2016, taking the place of the outdated EU Data Protection Directive (95/46 / EC) of 1995. “The aim of the rules is to return control to users over their personal data and introduce a high and uniform level of data protection across the EU that is needed  for the digital age,” wrote the press office of the European Parliament in the wake of GDPR’s adoption.


The essence of the EU-wide regulations centers on how to store and process personal information securely. The new privacy regulation to come into operation, on May 25, 2018 and the implementation by every EU country is the same.


Severe Punishment as a Warning

Any company that arrives at the time limit without taking the necessary steps will be slapped with a severe punishment of up to 4% total worldwide annual revenue, or nothing less than 20 million Euros. However, the precise punishment will be decided by the agency in charge of information security in each country, but the GDPR explicitly made it clear to each regulatory agency to ensure that the punishment “in each individual case are proportionate and dissuasive”.

Every company that transact business with the citizens of the EU are greatly affected by the new regulation due to the unavoidable involvement of storage and processing of personal information in today’s digital economy. Personal information comprises of “all the information that makes persons identifiable” including names, addresses, account information, and other online identifiers as well as personal characteristics including “the expression of physical, physiological, genetic, mental, economic, cultural or social identity of an individual.”

Pseudonyms and Encryption


Even though the European Parliament permits the companies to decide how to ascertain privacy, the regulation requires “appropriate technical and organizational measures”. Nonetheless, the parliament gives indicative order that requires companies to stick to the best practices and the use of pseudonyms and encryption are explicitly enumerated as appropriate technique to realize satisfactory level of safety.

The GDPR describes pseudonyms as “the processing of personal data in a way that it can no longer be assigned to a specific person” and requires that additional identifiable information be kept separately and be “subject to technical and organizational measures, to ensure that the data is not allocated to an identifiable natural person.”

Tokenization: A Safe Approach

If there is one method that meets the huge requirements of the GDPR, it is tokenization. This process ensures that sensitive personal information is randomly replaced by generated tokens before being processed or stored up in the cloud by third-parties service providers. The token maps and the original identifiable information are locally stored in a controlled database of the company responsible for data.

NXT-Security service providers like proffer designated solution to automatically tokenize information that are sensitive. Tokenization offers no connection between the original data and random tokens and this ensures significant reduction in the possibility of information being compromised.

Tokenized information retains the same information configuration making it impossible for information thieves to access – for instance a credit card number of “4123 4820 2310 8650” could be replaced by the token “4123 0405 2024 8650”. The token, functions just as the original information because the retained configuration does not interfere with external applications or processes.

NXT-Security’s Enterprise Vaultless Tokenization is confirmed and verified in regulated industries according to GDPR regulations. Moreover, about 40 percent of financial institutions including banks now approve the use of tokenization to secure sensitive personal information like social security numbers, dates of birth, and tax numbers as well as credit card account numbers.  Leveraging NXT-Security is the best way to protect your data.


Security to halt access by service providers and government organizations


Accurate tokenization of information makes it easy to meet the requirement policy of GDPR concerning transfer of personal information to third countries outside the European Union or international. The protection of data by encryption or tokenization before it is transmitted, processed or stored by a company is a good step to prevent legal challenges for any companies that are thinking about complying with GDPR.  By using NXT-Security’s Tokenization Service, an IT manager’s concern of giving storing and transmitting sensitive data to internal applications as well as to external applications and providers is nullified.


Total information protection measures.

The effectiveness of tokenization doesn’t guarantee solution for general purposes “Tokenization is ideal when it comes to protecting structured data within databases, such as a CRM, but to protect files, and other unstructured data, then it makes sense to consider encryption.”

Tokenization and encryption serve as total and all-inclusive security measures that ascertain the legal requirements for protection of personal information and company information. “Data security is always about a range of technologies that must be tailored to the individual circumstances of each company.”


GDPR: Secure PII