Veriff’s 2021 Identity Fraud Report Shows Continued Increase in Global Fraud
Online Identity Fraud Rates Doubled YoY and Fraud Attempts Increased in Fintech, Mobility and Crypto Sectors
– Janer Gorohhov, CPO and co-founder of Veriff
NEW YORK, United States, December 7, 2021 /EINPresswire.com/ – Veriff, a global company identity verification supplier, today released its Identity Fraud Report 2021. Findings from Veriff’s Fraud Expert Team shed light on the increase in fraud over the past year, as well as the different types of fraud that Veriff monitors and prevents in the financial technology industries, mobility and cryptography. Overall, there has been an astonishing 61% increase in fraudulent activity in 2021 compared to 2020.
Understanding the global state of fraud across different industries is critical for Veriff as the company aims to create a safer online space and build trust between businesses and consumers. The world has moved online operations due to COVID-19 and identity verification plays a major role in protecting all digital transactions. Key takeaways from Veriff’s 2021 Identity Fraud Report include:
– Identity fraud rates have doubled year-on-year: Identity fraud accounts for almost two-thirds of all fraud incidents globally and has doubled from 2020, making it the type of most prevalent fraud in the cryptocurrency and fintech industries. Identity fraud is more common in the United States than in Europe, accounting for 60% and 52% of all fraud incidents, respectively.
– Fintech is at risk: despite significant investments in security and prevention tools, the fintech industry has seen a 50% increase in fraudulent activity compared to the previous year. Identity fraud was the most common within fintech, accounting for 56% of fraud attacks with fraudsters using ID cards the most (33.91%) for their illicit checks, followed by passports (29 , 19%).
– Crypto Goes Mainstream: As the crypto industry continues to grow, the risks are unfortunately increasing too. Similar to our findings in 2020, crypto remains the most fraudulent industry compared to fintech and mobility, with a net fraud rate of 7.44%. Identity fraud (44%) is the most common type of fraud and Veriff has seen the strongest growth in identity document fraud, which has doubled from 2020.
– Global fraud increase in US and Europe: The global average fraud rate was 9%. On average, in 2021, the United States (8%) experienced more fraud than Europe (6%). In 2021, Europe saw identity fraud double from the previous year.
âDue to the urgency of digitization over the past 18 months, businesses and consumers have increased their online transactions and activities. However, this increase in activity should not equate to more risk and identity fraud. Yet the findings of our report make it clear that financially motivated cybercriminals are not slowing down, âsaid Janer Gorohhov, CPO and co-founder of Veriff. âConcepts like AI-based video editing and augmented video processing are just buzzwords. Online users can access plug-and-play products that allow them to use the power of deep learning and advanced AI to hide, anonymize, and edit images and videos. Therefore, there is a growing need for solutions such as technology from Veriff that can detect deepfakes. “
You can download the full fraud report here: https://www.veriff.com/reports/veriff-identity-fraud-report-2021
Veriff is a global online identity verification company that empowers organizations to build customer trust with intelligent, accurate, and automated online IDV. The largest database on the market, Veriff’s intelligent decision engine can analyze thousands of technological and behavioral variables in seconds, linking people to more than 10,000 government-issued IDs in more than 190 countries . Founded in 2015, Veriff serves a global portfolio of organizations in the fintech, crypto and mobility industries. Veriff has raised $ 92.8 million to date from investors such as Y Combinator, Mosaic Ventures, Nordic Ninja, Accel, IVP and others. With offices in the US, UK and Estonia, Veriff has a team of over 350 people from 42 different nationalities. For more information about Veriff, please visit our website www.veriff.com.