SAN FRANCISCO--(BUSINESS WIRE)--VGS, formerly known as Very Good Security, today announced it has surpassed three billion tokens stored, reflecting the transformational impact of the company’s universal token vault and cementing its position as the leader in payment tokenization. VGS works with companies across every major continent — including AWS, Albertsons, Deserve, and Fivestars by Sumup. The company now stores more than 70 percent of credentials in the United States and initiates more than 30B data calls per year.
“As we’ve gotten deeper into the payments stack with our partners it has become very clear that we play a critical role in payments infrastructure. There isn't a payment outcome we can't handle,” said Chuck Yu, a former Visa executive who joined VGS as CEO in April 2023. “In managing payment tokenization and attendant compliance challenges, we’re unlocking better revenue and business opportunities for our partners, whether they are a big bank, an aspiring fintech, or a growing merchant — we can handle every unique use case. I’m thrilled that we continue to grow alongside our clients while adding value across the payments ecosystem.”
After joining VGS, Yu quickly assembled a leadership team of payments industry veterans, including several Visa alumni with leadership roles in product, revenue, marketing, and strategy.
The milestone comes on the heels of a transformational year for the company and for payments more broadly. While consumers and businesses have more payment options than ever — the result of a proliferation of processors as well as the rise of open banking — companies’ payment needs have become more acute. Through its secure universal token vault, VGS stores sensitive data and manages payment routing across multiple processors and networks. Its technology helps companies transform sensitive data from a liability to an asset, helping them rapidly achieve their payment and security needs while unlocking new revenue sources, expanding customer loyalty, and increasing profits. VGS reduces the costs of complying with PCI by 50-75% and reduces time to market by 50%.
“VGS has long been a leader in payments security and compliance. But it’s thrilling to see how the company continues to widen its advantage by enabling customers to reimagine payments orchestration to drive savings and bottom-line impact,” said Alex Rampell, General Partner at Andreessen Horowitz and VGS board member.
“VGS has been a critical partner in our work to integrate marketing and loyalty programs for the thousands of businesses that use our platform,” said Matt Doka, CTO and Head of Enterprise of SumUp North America. “By allowing us to fully retain control over our CRM and transaction data without compromising on security or getting locked into a single payment processor, VGS empowers us and our customers. With VGS, we saved nearly $1M and six months of development time, enabling us to focus on building exceptional experiences for both merchants and consumers. This collaboration has helped propel both us and the small businesses we serve, powering loyalty programs on par with large retailers for mom-and-pop shops across the country.”
VGS was founded in 2016 with a focus on data security. It is backed by Visa, Andreessen Horowitz, Nyca, Goldman Sachs, and Vertex Ventures.
ABOUT VGS
VGS is the world's leader in payment tokenization. Large banks, aspiring fintechs, and growing merchants embed our universal token vault into their technology stack to manage the complexities of payment data tokenization across processors and networks, open banking, card issuance, omni-channel loyalty, PCI compliance, payment orchestration, and more. We empower our clients and partners by tokenizing sensitive payment data, limiting compliance scope, and consolidating payments to unlock revenue and business opportunities.
VGS provides processor-agnostic tokenization solutions via secure universal token vaults, iframes, mobile SDKs, tokenization proxies, APIs, and data orchestration tooling to support payment acceptance, card issuance, PII and bank account tokenization, and other payments value-added services. Some of the use cases we enable include multi-processor network tokenization, account updater services, payment orchestration, secure settlement file processing, 3DS, and risk provider connectivity.
Learn more at vgs.io and by following us on LinkedIn.
