What characterizes the data encoded on Track 2 of a magnetic stripe?

The data encoded on Track 2 of a magnetic stripe is characterized by being read-only and including security features. This track primarily consists of numeric data, which typically includes the cardholder's account number and other essential information necessary for transaction processing. The read-only aspect ensures that this critical data cannot be altered after it has been written, protecting it from tampering.

The inclusion of security features is vital for maintaining the integrity and security of the payment process. These features may involve encoding methods that enhance the confidentiality and protection of the user’s data against fraud and unauthorized access. Thus, the characteristics of Track 2 serve both practical payment processing needs and security considerations, making it crucial for secure transactions in credit and debit cards.