Sumsub adds Fraud Network Detection to fight plague in APAC region

Rick Steves

“We’ve detected fraud networks ranging from three to over 750 users. In Myanmar and other Southeast Asian countries, cyber scam rings target victims with fraudulent schemes like fake jobs or investments. The issue raises diplomatic concerns and deters Chinese tourists from traveling to the region.”

Sumsub has enhanced its Fraud Prevention Solution to help combat the growing threat of fraud networks in the Asia-Pacific (APAC) region.

Targeting a broad spectrum of fraud-related issues, including account takeovers, chargeback fraud, and bot attacks, among others, the upgraded anti-fraud solution now includes Fraud Network Detection to prevent serial fraud.

Fraud network activities in APAC is significantly higher

Fraud networks, or fraud rings, consist of individuals collaborating on various digital platforms to engage in activities such as multi-accounting, money laundering, and personal data breaches. Sumsub’s research indicates that about 1% of digital platform users worldwide were affected by fraud ring activities in 2023, highlighting the critical need for robust fraud prevention measures.

The incidence of fraud network activities in APAC is significantly higher than in other regions, with Asia experiencing an average fraud network incident rate of 2.6%. Countries like Bangladesh, Thailand, Vietnam, and Indonesia show particularly high rates, underscoring the widespread nature of the problem across both developed and developing markets in the region.

Pavel Goldman-Kalaydin, Head of AI/ML at Sumsub, emphasized the evolving threat posed by fraud networks, likening their potential impact to that of AI-powered deepfakes. He stressed the importance of businesses being proactive in protecting their platforms against these threats.

Sumsub’s upgraded Fraud Prevention Solution leverages advanced anti-fraud technologies and a unique database containing information on two million fraudsters. This comprehensive approach enables businesses to detect and track fraud rings more effectively. The solution incorporates Detect & Act capabilities, action alerts for automated additional checks, and a multi-layered fraud prevention strategy that includes Identity Verification, Behavioral Intelligence, and AI-based Event Monitoring.

This advanced Fraud Prevention Solution is designed to protect businesses across various sectors, including fintech, e-commerce, and iGaming, helping them to build user and regulatory trust by going beyond traditional anti-fraud and KYC methods.

Cyber scam rings target victims with fake jobs or investments

Pavel Goldman-Kalaydin, Head of AI/ML at Sumsub, said: “We’ve detected fraud networks ranging from three to over 750 users. In Myanmar and other Southeast Asian countries, cyber scam rings target victims with fraudulent schemes like fake jobs or investments. The issue raises diplomatic concerns and deters Chinese tourists from traveling to the region. Fraud networks, however small they may seem right now, will gain prominence, just like AI-powered deepfakes. The damage of fraud rings is much more significant than that of individual scammers. Businesses must be prepared for this and protect their platforms in advance”.

Vyacheslav Zholudev, CTO and co-founder of Sumsub, added: “Fraudsters are becoming more tech-savvy, presenting a threat for digital services and their users. Sumsub’s comprehensive solution for fraud prevention is based on machine learning algorithms detecting all possible fraud types at every stage of the user journey. To flag suspicious user activity, our system is equipped with a range of fraud prevention tools including Identity Verification, Behavioural Intelligence, Device Fingerprinting, Fraud Risk Scoring, Deepfake Detection, Email and Phone Risk Assessment, and AI-based Event Monitoring. The solution now also applies Fraud Network Detection to stop serial fraud.”

Read this next

blockdag

BlockDAG’s Explosive Presale Hits $20.3M In April Swaying Investors From XRP’s Price Trends Upward, & Polygon’s NFT Market

Learn about BlockDAG’s impressive $20.3M presale results, XRP’s price increase prospects, and the booming NFT market on Polygon among the top 10 cryptocurrencies.

Retail FX

Financial Commission warns of Eplanet Brokers

The Financial Commission, a self-regulatory compliance specialist for the financial services industry, is ramping up its scrutiny of unregulated brokerage firms. Today, the independent association warned against a company called Eplanet Brokers.

Retail FX

Dubai crypto exchange steps into prop trading

Dubai-based cryptocurrency trading platform, CoinW Exchange, marked its sixth anniversary by announcing a rebranding initiative and launching a proprietary trading product.

Fintech

Bitcoin payments app Strike launches in Europe

Bitcoin blockchain-based payments app Strike launched in Europe on Wednesday, allowing users in the region to buy, sell, and withdraw bitcoin (BTC).

Chainwire

Bandit Network’s Points SDK and Brave Ads Power Astar zkEVM’s Quest Platform “Yoki Origins”

“Yoki Origins,” supported by Bandit Network and Brave Ads, introduces a gamified and rewarding experience for Astar zkEVM users, marking a significant milestone in Web3 adoption.

Digital Assets

Crypto ETFs to debut in Hong Kong next week

Hong Kong has authorized six cryptocurrency-based spot ETFs set to launch on April 30, according to Bloomberg.

blockdag

BlockDAG Among The Best New Crypto To Invest In Post 8 Billion Coins Sales; More On Bitcoin Cash Futures’ Launch & Solana Positive Predictions

Explore Solana’s ATH predictions to see whether it can rise after a $17B dip? BlockDAG sells 8 billion coins in presale as Bitcoin Cash Futures launch.

Fundamental Analysis, Market News, Tech and Fundamental

Global FX Market Summary:USD, FED, German IFO ,Gold April 24 ,2024

Mixed US economic data and Fed rate hike uncertainty are causing volatility in the EUR/USD pair, while the Eurozone and gold prices add another layer of complexity.

Market News, Tech and Fundamental, Technical Analysis

EURCHF Technical Analysis Report 24 April, 2024

EURCHF currency pair can be expected to rise further toward the next major resistance level 0.9840, which stopped the pervious waves C and B, as can be seen below.

<