Both reduce exposure, but they solve different operational problems.
Use when the original value should not be recoverable in the downstream workflow.
Use semantic labels such as [EMAIL] when context matters but identity does not.
Use deterministic one-way representations for grouping/linkage where revealing the original value is unnecessary.
Use encrypted reversible tokens when an authorized application path must recover the exact original value later.
Reversible token security depends on protecting and rotating the secret correctly.
If nobody needs the original value downstream, prefer an irreversible strategy rather than creating a restore capability.