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The following post will review strategies for Radar as an overall product and then for Stripe users on managing fraud efficiently. Throughout the years, Stripe Radar has grown to become a comprehensive product with improved risk scores and continues to add features.

Decentralized identity will become significant in identity proofing and verification in the coming years. There are plenty of explainers and deep dives into the technology and why companies and people should pay attention to it. It is still a fragmented space, but new iterations are slowly improving and standardizing the solutions.

Understanding the significance of 'Know Your Employee' (KYE) in onboarding is becoming the next level of security in IAM. Recently, remote employees and contractors are a weak link in the security of a business. In one case, North Korea has targeted businesses with inside employees that decide to earn salaries, exfiltrate information, or remain sleeping agents until needed.

As most companies and bad actors are now using AI against each other, there has not been too much exposure of methods used in bypasses. We have covered some KYC and deepfake vulnerabilities, but the fraud world doesn't stop with just one component. Companies are racing to create their own AI agents to help automate and detect more AML and KYC checks.

In 2024, identity verification software has expanded across industries, and more companies are utilizing these services. Around five years ago, many solutions did not exist, and there were only a few options on the market to verify an ID. Even worse, they were manual, slow, costly, and challenging to implement.

As more AI models and tools are released into the wild, they are becoming visually realistic and easier to use. When a model becomes optimized to run on lower-end hardware and meets realistic capabilities, it starts to gain critical mass to be used for fraud.

As technology advances, there is no slowdown in bad actors taking advantage of tools to commit crimes. Now, with more advanced AI entering the stage with vast capabilities, the barriers to entry for many identity verification bypass methods are being lowered.

We recently assisted a P2P crypto vendor that was facing major losses due to buyers on a P2P marketplace. They faced significant chargebacks and bank recalls from verified buyers with positive reviews. Unfortunately, many fiat payment methods are easily disputable by a buyer if they complain to their bank or financial institution.

This post will delve into the underworld of banking fraud and some examples of wire fraud. The anatomy of the fraud ecosystem keeps getting more complex, with more bad actors joining and applying their skills across industries. Banks need to be especially aware of these fraud scams as they can instantly lead to 6- and 7-figure losses.

ChatGPT's latest release of models can analyze images using the Vision API, meaning now is the time to test out new use cases. Using ChatGPT to view images can prevent fraud and create complex detection and prevention workflows. However, ChatGPT can not replace an entire identity verification stack as privacy limiters prevent the models from extracting certain information.