Which of the following is an example of a data protection strategy that uses tokenization?
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Correct answer: Replacing sensitive data with surrogate values.
Why this is the answer
Tokenization is a data protection strategy that replaces sensitive data with a non-sensitive, unique identifier called a token. This token retains all essential information about the data without compromising its security. Replacing sensitive data with surrogate values directly describes this process, where the surrogate value is the token. Encrypting databases protects data but uses cryptographic algorithms to scramble the original data, not replace it with a token. Removing sensitive data from production systems is a data minimization strategy, not tokenization. Hashing sensitive data creates a fixed-size string that is one-way (cannot be reversed to the original data), which is different from tokenization where the original data can often be retrieved using the token and a secure vault.
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