Abstract: Various embodiments are described herein for methods and systems for operating a transaction system for facilitating a transaction between a customer system and a merchant system. In one example embodiment, the method of operating the transaction system includes receiving a request for a digital token from the customer system, operating at least one processor to generate the digital token, transmitting the digital token to the merchant system in exchange for at least one item and validating the digital token to confirm the generation of the digital token by the at least one processor. In the various embodiments described herein, the digital token does not contain any identifying information for the customers engaged in the transactions. The digital tokens of the embodiments described herein are highly secure tokens that can be exchanged over a rather insecure network without jeopardizing the security of the transaction system.