HealthVerity Blog

The Token Is Broken: Rethinking Patient Tokenization

Written by HealthVerity | Jul 20, 2023 12:15:01 PM

Patient tokenization replaces personal identifiers with encrypted tokens to link healthcare records securely across claims, EHRs, and real-world data. Traditional tokenization often creates fragmented or inaccurate records. HealthVerity’s synchronized tokenization solves these challenges by assigning each patient a universal HealthVerity ID (HVID) that enables more accurate linkage, regulatory compliance, and richer real-world evidence for clinical trials and life sciences research.

The HealthVerity synchronized tokenization approach is superior to legacy tokenization because it assigns a universal HealthVerity ID (HVID) to each patient that remains synchronized with the patient journey across any dataset, ensuring consistent and accurate data linkage and better data interoperability (Figure 1). 

Figure 1. An example of patient tokenization to create a unique de-identified HVID

What is patient tokenization in healthcare?

Patient tokenization is a privacy-preserving method that replaces personally identifiable information (PII) with unique, encrypted tokens. Also known as healthcare tokenization or clinical trial tokenization, this method enables secure linkage across EHRs, claims, labs, and real-world data sources.

For life sciences, tokenization supports critical use cases including:

  • Regulatory submissions supported by real-world evidence (RWE)

  • Clinical trial tokenization to follow participants beyond the study

  • Long-term patient journey mapping for safety and outcomes research

HealthVerity takes this further by assigning each patient a universal HVID. Unlike legacy tokens, HVIDs remain synchronized across all datasets, improving interoperability and ensuring accurate longitudinal tracking.

Why synchronization matters

From 2019 to 2021, more than 100 FDA approvals cited RWE for therapeutic or safety support. This trend continues as regulators and sponsors demand deeper, multi-source insights.

Synchronized tokenization enables:

  • Accurate linkage between clinical trials and real-world data

  • Enrichment of RWE with additional patient context

  • Fewer errors in regulatory submissions

  • Confidence in privacy and compliance under HIPAA

Benefits of synchronized tokenization

Implementing synchronized tokenization in clinical trials and RWE strategies provides several advantages:

  • Greater data accuracy: Universal patient IDs reduce linkage errors.

  • Improved patient privacy: Tokens preserve confidentiality throughout the data lifecycle.

  • Regulatory compliance: Alignment with HIPAA and FDA expectations.

  • Comprehensive insights: Integration of trial data with real-world data creates a fuller picture of outcomes and treatment effectiveness.

Key considerations for an RWD strategy

An effective RWD program depends on more than just tokenization. You need to ensure:

  1. Accuracy – Legacy tokenization methods have false negative rates as high as 40% with noisy data. HealthVerity reduces this to 3%.

  2. Data provenance – Regulators want proof that data is robust and trustworthy.

  3. Broad data ecosystem – Linking claims, pharmacy, labs, EMR, chargemasters, and consumer data provides the most complete journey.

  4. Flexibility – Open platforms allow you to integrate first- and third-party data, even pre-tokenized datasets.

  5. HIPAA compliance – Certification should be built-in, not vendor-controlled.

  6. Speed to market – A single contract with a trusted partner reduces vendor management delays.

How HealthVerity delivers

HealthVerity’s IPGE framework (Identity, Privacy, Governance, Exchange) powers the nation’s largest HIPAA-compliant healthcare and consumer data ecosystem. More than 75 data partners trust this approach, enabling unmatched transparency, provenance, and interoperability.

  • Accuracy: A single HVID per patient, matched against 200B+ records, delivers 10x greater accuracy than traditional tokens.

  • Privacy: Built-in HIPAA compliance eliminates conflict of interest from vendor-controlled certification.

  • Scale: Access to the largest synchronized ecosystem of open and closed claims, pharmacy, lab, and EMR data.

Connecting clinical trials to real-world data

HealthVerity for Clinical Trial Linkage is a 21 CFR Part 11-compliant solution designed to synchronize patient journeys from clinical trials through launch and beyond. It supports:

  • Registries for patient recruitment

  • Phase 4 and safety studies

  • Post-launch monitoring of patient outcomes

HealthVerity for Clinical Trial Linkage integrates seamlessly with HealthVerity’s platform:

  • Identity Manager creates the HVID at enrollment, enabling ongoing discovery of patient RWD.

  • Governance Manager manages patient consent and data rights.

  • HealthVerity Marketplace enables secure discovery and exchange of de-identified RWD across 330M+ HVIDs.

This infrastructure ensures data can move where it is needed, when it is needed, without compromising privacy or compliance.

Conclusion

Legacy patient tokenization is broken. Inconsistent identifiers create blind spots in research and regulatory submissions. By adopting synchronized tokenization, life sciences teams gain accurate, privacy-preserving data linkage that unlocks the full potential of real-world data.

HealthVerity provides the proven framework to synchronize patient identities, protect privacy, and connect clinical trials with the nation’s largest RWD ecosystem. The result is better compliance, faster insights, and stronger evidence across the product lifecycle.