Unique View into Large-Scale Organized Identity Fraud Shows That Lax Regulations Continue to Propel Payments Sector Attacks

AU10TIX's latest report delves into the landscape of identity fraud, highlighting the rising instances of organized fraud observed in Q1 2024. A significant uptick in fraud targeting the online gaming sector, particularly attributed to bonus abuse schemes, has been recorded. Additionally, the report underscores the payments sector as a prominent target for fraudsters, emphasizing the need for enhanced security measures in the absence of comprehensive regulations.

1. Growing Fraud Trends in the Online Gaming and Payments Sectors:

   • Notable increase in fraud targeting the online gaming industry, driven by bonus abuse schemes
   • Payments sector remains a primary target for fraudsters, accounting for the majority of attacks
   • Implications of sector-specific fraud trends on the overall landscape of identity fraud

2. Strategies for Combatting Identity Fraud:

   • Importance of robust KYC and age verification measures for gaming providers to mitigate bonus abuse fraud
   • Need for strengthening KYC, KYB, and AML protocols in payments sector to enhance protection
   • Leveraging facial image capture (selfie) as an effective verification method to deter identity fraud attempts

AU10TIX's comprehensive report not only sheds light on the evolving trends in identity fraud targeting the online gaming and payments sectors but also offers practical insights to help organizations fortify their defenses against fraudulent activities. By implementing stringent verification protocols and embracing innovative solutions, companies can proactively protect their customers and strengthen their security posture in the face of emerging fraud challenges.