Countless articles have been written about the techniques cybercriminals use to harvest personal information and about ways to prevent online identity theft. However, less attention has been given to the economic engines that grease the wheels of financial cybercrime. Fraudsters have realized that the dark web provides a full cloak of anonymity, creating fertile ground for new darknet markets to surface and a strong incentive for criminals to launch cunning cyberattacks.
This blog post is excerpted from a white paper, entitled “Deconstructing the Cyber-Psychology Behind Behavioral Biometrics”. To access the full paper, click here.
We have all heard about hacks of personal information and troves of credentials that are available for sale on the dark web. We all feel threatened by the potential that this will be used to steal our identities. But more recently, fraudsters have latched on to a new technique that is even harder to trace, yet results in a significant amount of write-offs to businesses; according to Auriemma Consulting Group, fraud related to the use of synthetic identities is responsible for 5% of charged-off accounts and approximately 20% of credit losses, amounting to an astronomical loss of $6 Billion in 2016. Moreover, this trend is expected to increase to $8 Billion by 2018, according to Javelin Strategy and Research.
Last week (26-28 June 2017), Europe’s largest and most reputable fintech/payments event was held in Copenhagen, Denmark. With more than 70 sessions and workshops, over 4000 industry professionals from all over the world assembled to do business, scout for new technologies and deliberate on the rapidly-changing landscape of payments and fintech.