[jyl]

Not sure how interested anyone is, but here is an explanation of how Apple Pay works, which is also an explanation of how token based payment systems work.

The days of credit or debit card infornation being passed around and stolen will end. In token systems, the card information exists nowhere outside of the card issuer's systems and your own wallet (if you still carry the physical card). It isn't on your phone, isn't given to the merchant, isn't transmitted over any network. There is nothing for a hacker to steal, no matter how thoroughly they penetrate the retailer's systems.

http://m.tuaw.com/2014/10/02/apple-pay-an-in-depth-look-at-whats-behind-the-secure-payment/

I don't know much about the chip and pin cards in Europe. Anyone want to point me to an article that explains their security mechanism?