1. A system to perform image-based tokenization, the system comprising: a memory storing a processing application comprising machine readable instructions; a processor that executes the stored processing application to: prompt a user via a display to capture a first image of a physical item; control an imaging sensor to capture the first image; and measure pixel parameters of pixels in a region of the captured first image to identify a unique feature of the physical item; a tokenization server to: receive the unique feature identified by the processing application; apply the unique feature to a cryptographic function to generate a token for the physical item; capture a second image of the physical item, the physical item rendered unusable for an intended purpose after a modification of the physical item; verify whether the physical item is rendered unusable for the intended purpose based on the captured second image of the physical item; and in response to the verifying that the physical item is rendered unusable for the intended purpose, release the token for use by the user; and a token database to store the token and information related to the physical item.