Tokenization replaces sensitive data (e.g., PII) with non-sensitive placeholders while maintaining format consistency, ensuring compliance without disrupting testing. This method is commonly used for PCI-DSS and GDPR compliance while preserving data structure for functional tests.
Encryption (A) secures data but does not remove sensitivity or solve testing concerns.
Truncation (B) removes portions of data but may impact testing if format requirements are strict.
Synthetic data (C) can be useful but may not always match real-world scenarios perfectly for testing purposes.