I've argued many times on different forums about how tokens (provided they are "true" tokens that are not derived from the PAN) and tokenization are more secure than E2EE data -- format preserving or otherwise. E2EE proponents almost always quotes some report that states a brute force attack on the encrypted data will take umpteen million years of CPU time to crack. There are a few problems with this argument. For starters, I imagine similar arguments were being made back in the single DES days; but then CPU speeds increased exponentially and umpteen million years of CPU time became months, then weeks, then days, and eventually minutes. Another issue is the potential for a yet to be discovered inherent vulnerability in the encryption algorithm or key hashing; SSL1 comes to mind, as well as MD5.
A final issue with the "umpteen million years to crack " argument is that this assumes a brute force attack. If the key is ever compromised by any means -- yes, a brute force attack is one means, but also poor key storage, memory sniffers, disgruntled ex-employee, etc. -- the encrypted data is vulnerable.
- PCI SSC adopts some form of language that removes E2EE data from PCI scope.
- One or more middle men handle this E2EE data between the starting end point and the final end point: POS application, merchant LAN, Internet service provider, routers, gateway, processor(assuming the gateway is not the end point), etc.
- One or more of these middle men log all this E2EE data in the clear -- since E2EE data is already encrypted, this data is out of PCI scope and therefore has no requirement for additional encryption, data retention periods, etc.
- Everything works securely and flawlessly for weeks, months or years.
- The E2EE key is compromised by whatever means (brute force, encryption algorithm vulnerability, disgruntled employee, whatever).
Now with true tokenization, tokens cannot be cracked; no keys, no possibility of inherent tokenization algorithm vulnerability (assuming true tokenization where the token is not derived PAN). Any middle men storing or logging tokens could and should be removed from the liability equation provided they never touched the real cardholder data.
I hope the PCI SSC carefully consider this issue in it's entirety before adding any out-of-scope wording for encrypted data.