AU10TIX’s perspective on identity proofing and fraud detection

With the growth of online transactions and the increasing sophistication of cybercriminals, the need for robust identity-proofing and fraud-detection solutions has never been greater. As cyber criminals continuously refine their techniques and exploit vulnerabilities in an ever-evolving technological landscape, businesses and individuals face an uphill battle to protect their assets and sensitive information. Here enters the scene of defence, an innovative company called AU10TIX. AU10TIX is a leading provider of identity proofing and fraud detection solutions, which enables organizations to authenticate identities, detect fraudulent activities, and prevent financial losses. Their comprehensive suite of tools and services offers seamless and efficient identity verification, protecting businesses and individuals from the ever-evolving threat landscape. By harnessing cutting-edge innovations, AU10TIX empowers organizations to build trust, enhance security, and stay one step ahead in the fight against fraud.

In an exclusive interview with a seasoned security professional, Nir Stern- VP of Product Management at AU10TIX, we gained valuable insights into the evolving landscape of identity verification and the relentless pursuit of staying one step ahead of fraudsters. Join us as we delve into the world of cutting-edge technologies, the challenges businesses face, and the innovative approaches taken to protect individuals and organizations from the pervasive threat of fraud.

Fraud Detection
Nir Stern VP of Product Management AU10TIX

How was AU10TIX created?

Nir Stern: We specialize in remote identification for digital applications, ensuring strong user verification for regulatory requirements and verifiable moments. Our solution is utilized when traditional methods like SMS authentication fall short, offering robust verification for actions like password changes and bridging the physical and digital realms in applications like Uber and Airbnb. Our unique journey began with a background in airport security and passport verification using scanning machines.

So, security is in our DNA, rooted in our experience with high-security environments like airports. About 14 years ago, we recognized the need for remote identity verification as banks shifted to digital processes. Leveraging our knowledge of physical scanning machines, we developed AU10TIX as a fully digital solution. That’s how we arrived at our current position.

The defence product lines of AU10TIX– What do they offer

We offer a diverse range of product lines, starting with our Identity Verification Suite. This suite is responsible for the entire identity verification and KYC (Know Your Customer) process. It utilizes cutting-edge technology to analyze and classify ID pictures automatically. Our system supports over 4,000 ID types, covering all countries and languages. We can extract data and photos from these IDs through auto-classification, ensuring a seamless and efficient process. One of our core strengths is our global reach. We have developed our technology to provide fully automated solutions across various regions. This means we can offer support for thousands of ID types and adapt to the unique requirements of different countries and languages.

In addition to analyzing ID pictures, we employ hundreds of forgery tests to ensure that the presented ID is legitimate and not forged. This comprehensive approach enables us to deliver highly accurate verification results. Furthermore, as part of the identity proofing process, our Identity Verification Suite allows for comparing a selfie with the photo on the ID. To further enhance the verification process, we integrate with external data sources, such as government databases, to verify users’ information.

To tackle the evolving challenges of fraud, we have developed a solution called Serial Fraud Monitoring. In recent times, synthetic fraud has become increasingly prevalent, often orchestrated by sophisticated criminal organizations. These fraudsters invest significant resources and target multiple IDs simultaneously. Our Serial Fraud Monitor solution goes beyond analyzing individual IDs. It leverages our extensive consortium database to identify patterns and similarities across multiple IDs. We can detect serial attacks and prevent fraudulent activities by examining characteristics like photos, names, or ID numbers.

Fraud Detection
Reusable ID by AU10TIX

We also offer Reusable ID, a forward-looking product for digital identity. Users can create a secure digital ID on their mobile devices, leveraging cryptographic encryption for enhanced security. With Reusable ID, individuals can present claims to organizations without repeated identity verification, streamlining the process and eliminating the need to share personal information. Our comprehensive platform integrates all our solutions, providing a user-friendly experience with workflow management tools and administrative features. Our suite of products, including Identity Verification Suite, Serial Fraud Monitoring, Reusable ID, and the platform, addresses key aspects of identity verification, fraud prevention, and digital identity management to meet the evolving needs of organizations.

How AU10TIX handles vulnerabilities and protects user data in Identity Verification

We take data privacy and security seriously by complying with regulations and certifications like GDPR. During the identity verification process, the data collected, such as ID images and selfies, is used in real-time calculations and then promptly deleted. We retain the data for a short period if requested by our customers. Our consortium database uses anonymization algorithms and one-way hashing to ensure that no raw data or personally identifiable information is stored. This approach minimizes the risk of data breaches or unauthorized access.

Regarding potential vulnerabilities or attacks like identity spoofing or deep fake attempts, our system employs advanced techniques to detect and mitigate such risks. While I mentioned the use of forgery tests and selfie-to-ID comparisons earlier, we also continuously update our algorithms and leverage machine learning to stay ahead of emerging threats. We aim to provide users with a secure and reliable identity verification process, safeguarding their privacy and protecting them from fraudulent activities.

Real-life success cases of the Serial Fraud Monitor Platform

The serial fraud monitor platform has proven effective in detecting and preventing fraudulent activities, showcasing numerous instances of success. With a global customer base that includes renowned organizations like LinkedIn, Airbnb, Uber, PayPal, and Google, we have comprehensive coverage of global trends and attacks. Our data reveals the prevalence of mass attacks worldwide, with recurring patterns such as multiple IDs sharing the same picture or identification number.

In one remarkable case, a customer implemented our solution and witnessed its exceptional accuracy, reaching an impressive 99.8%. Within three weeks of deployment, the system detected over 20,000 fraud cases, with 70% eluding detection by any other existing system. This exemplifies our platform’s unique value in identifying and mitigating fraud that would otherwise remain undetected. These instances of fraud highlight the complexity and sophistication of criminal activities in today’s landscape. Criminals employ intricate tools and techniques aimed at bypassing security measures. Our serial fraud monitoring platform stands as a formidable defence, providing unparalleled capabilities to identify and combat fraudulent behaviour.

The Advancement of AI in Identity Verification: Where is it Heading

AI-enhanced technologies in identity verification have indeed seen significant advancements, raising concerns about potential threats. However, it is important to note that these developments are not new. Fraudsters and criminals have been utilizing AI tools for some time, continuously evolving their tactics. To combat such threats, our platform employs sophisticated machine learning and AI models, constantly staying at the forefront of technology. It’s a constant battle of staying ahead and ensuring the highest level of security for our company and society.

Proactive measures against AI-related risks

We recognize two areas where AI is commonly used. The first involves the creation of high-quality, sophisticated fake IDs. Traditional methods, whether human or technological, often do not detect such frauds based on a single image. To address this, we have developed our efficient serial fraud monitoring tool that continuously evolves to counter these threats. The second area revolves around AI-generated images and deep fakes, particularly concerning selfies. These advancements have made it possible to convincingly impersonate others in video sessions, bypassing existing security measures.

To tackle this challenge, we employ a three-layered approach. The first layer focuses on verifying the camera’s authenticity, ensuring no bypass or tampering. Glitches and subtle imperfections left by even the most sophisticated effects form the second detection layer. Our AI models are specifically designed to identify these markers. Lastly, we develop tools to detect the injection of fraudulent tools into the session. These multi-layered measures are essential in combating AI-related risks and maintaining a secure identity verification process.

Should we be worried about this enormous AI revolution regarding identity verification?

While there are alarming advancements in AI-generated videos and content, we are actively working on solutions to detect and address false content. Our focus is on ensuring authenticity and trustworthiness in the identity verification process. We understand the concerns surrounding AI’s evolution but are dedicated to staying ahead of criminals and protecting our customers. Our customers do not need to be scared; we prioritize their security. Embracing AI is a personal decision, but with robust security measures and proactive efforts, it can bring positive outcomes and improved experiences.

In conclusion, as the identity proofing process becomes quicker and more seamless, organizations are increasingly adopting our solution for regulatory compliance and as a proactive measure against fraudulent activities. The need for real-time verification has grown as fraudsters become more sophisticated, rendering traditional methods like one-time passwords obsolete. Our solution offers a fast and reliable way to prevent risky activities, ensuring enhanced customer security.

Kristi Shehu is a Cyber Security Engineer (Application Security) and Cyber Journalist based in Albania. She lives and breathes technology, specializing in crafting content on cyber news and the latest security trends, all through the eyes of a cyber professional. Kristi is passionate about sharing her thoughts and opinions on the exciting world of cyber security, from breakthrough emerging technologies to dynamic startups across the globe.