Which uses encrypted, machine-generated codes to verify a user's identity?

Token-based authentication relies on encrypted, machine-generated tokens to verify a user’s identity. After successful authentication, the system issues a token (often a JSON Web Token or OAuth token) that represents the user’s session or authorization claims. This token is then presented with each request instead of repeatedly transmitting credentials.

Unlike basic or form-based authentication, token-based methods reduce exposure of usernames and passwords, improve scalability, and support modern distributed architectures such as APIs, cloud services, and mobile applications. Tokens can also include expiration times and scopes, improving security control.