The measurement of torque can be separated into two main categories - Reaction or Rotating.
Reaction torque is measured at the static side and is often the lowest cost and easiest way to measure torque. The advantages of cost and simplicity are most easily protrayed by considering a Load Cell attached to the reaction surface via a suitable beam of known length. In this way, the reaction torque can be measured with known accuracy (uncertainty). However, this method is not suitable for measuring highly dynamic torsional forces because of the inertia that is added to the system by virtue of the beam and the load cell..
Rotating torque requires a more complex torque sensor to measure it, and such sensors can be contacting (in the case of slip rings) or non-contacting (as in the case of wireless telemetry).