What is a token reading & authentication?

Could you elaborate on the concept of token reading and authentication in the realm of cryptocurrency and finance? I'm curious to understand how it works and its significance in ensuring secure transactions. Specifically, I'd like to know if token reading involves identifying specific details from a token, while authentication verifies the validity of those details. Furthermore, I'm interested in knowing if these processes are used for user authorization or transaction verification, and if there are any specific technologies or protocols that are commonly employed for token reading and authentication.