AU10TIX Year-End Report on Global Identity Fraud Names 2024 'The Year of Fraud-as-a-Service (FaaS)'
Rhea-AI Summary
AU10TIX has released its 2024 Global Identity Fraud Report, highlighting the rise of Fraud-as-a-Service (FaaS) as a major threat. The report reveals how user-friendly fraud kits enabled amateurs to execute large-scale attacks involving up to 8,000+ incidents.
Key findings include a significant mega-attack detected across four regions and three industries, involving 4,580 unique ID template permutations, with APAC accounting for 88% of mega attacks. Social media platforms saw a dramatic increase in fraud, rising from 3% of attacks in Q1 to 30% in Q4 2024. Meanwhile, fraud in the payments sector decreased from 54% to 43%, while crypto attacks stabilized at 24% following MiCA regulations.
The report recommends three key actions: implementing enhanced fraud detection tools for social media platforms, engaging in consortium validation, and adopting proactive AI-driven validation measures to combat emerging threats like deepfakes and synthetic identities.
Positive
- Detection of a major fraud attack spanning multiple regions and industries, demonstrating strong security capabilities
- Successful identification of 4,580 unique fraud permutations in a single attack
- Company's ability to track and analyze fraud trends across different sectors
Negative
- Significant increase in social media platform attacks (from 3% to 30% in Q4)
- Rising sophistication of fraud techniques through FaaS platforms
- Emergence of AI-driven threats like deepfakes requiring additional security investments
News Market Reaction – ICTSF
On the day this news was published, ICTSF declined 8.55%, reflecting a notable negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Plug-and-Play Fraud Kits Enabled Novices to Launch Mega-Attacks Across Payments, Crypto and Social Media Platforms
"FaaS has elevated cybercrime, enabling a whole cohort of the population to join in on global fraud by launching large-scale attacks involving up to 8,000+ incidents," said Dan Yerushalmi, CEO of AU10TIX. "Using AI-driven tactics such as deepfake selfies and synthetic identities, organized fraudsters are testing traditional security measures like never before. Only by adopting more advanced fraud prevention techniques and multi-layered defenses can businesses stay ahead of emerging threats and strengthen trust with their users."
FaaS platforms provide all the tools, templates and automation that fraudsters need to commit widescale identity fraud, deepfakes, and cyberattacks, including:
- Deepfake generators to create synthetic selfies and videos
- Botnets to automate mass-scale account creation and takeover
- Phishing kits for email and web-based scams
- Dark web marketplaces: a hub for buying stolen data
AU10TIX Identifies 2024 Mega Attack of 4580 Unique Permutations
In one instance, AU10TIX detected a single mega attack spanning four geographies (APAC, EMEA, LATAM, NA) and three industries (payments, crypto, social media). It involved 4,580 unique permutations of the same ID template and had all the markings of an FaaS-enabled attack.
APAC led the pack as the epicenter of 2024's mega attacks, taking
Other 2024 Trends
Social media became a critical battleground for fraud and misinformation in 2024, with a surge of activity related to elections, international conflicts, and other hot-button topics. Users also increasingly leveraged these platforms for e-commerce, which opened the door for fraudsters to conduct illicit activities that were once confined to payments, banking, crypto, and other fintech platforms. As a result, a full
As fraud increased on social media platforms, it declined in the payments sector, historically the most targeted industry. Payments saw
Key Takeaways
AU10TIX's 2024 Report on Global Identity Fraud offers three actionable insights to help organizations protect against identity fraud:
- Social Media Platforms Must Invest in Smarter Fraud Detection - Enhanced selfie and fraud detection tools are necessary to protect social media engagement, ensure account authenticity, and prevent the risks posed by fake accounts.
- Engage in Transparent Collaboration - Consortium validation and visual fraud simulations are powerful tools against FaaS-driven mega attacks. Organizations can leverage consortium insights to add a robust second layer of protection and risk mitigation.
- Be Proactive - Don't just react to what's happening now; prepare for what's coming next. Future-proofing means adopting AI-driven validation and multi-layer defenses to combat deepfakes, synthetic identities, and emerging threats.
About AU10TIX
AU10TIX plays a pivotal role in establishing trust between individuals/companies and digital systems. Founded in 2002, it is the global leader in identity verification and management, protecting the world's largest brands against advanced fraud. The company's future-proof product portfolio helps businesses provide frictionless customer onboarding and verification in 4-8 seconds while staying ahead of emerging threats and evolving regulatory requirements. AU10TIX offers the world's only
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SOURCE AU10TIX
FAQ
What were the key findings of AU10TIX's 2024 Global Identity Fraud Report?
How did social media fraud attacks change throughout 2024?
What percentage of mega attacks occurred in the APAC region in 2024?
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What are the three key recommendations from AU10TIX's 2024 fraud report?
