AI-powered Fraud Prevention: Experts Convene to Discuss Pressing Issues and Innovative Solutions

Fraud is evolving. In an increasingly digital world, where technological advancements bring convenience, they also breed new forms of cyber threats

As technological advancements sweep across industries, they bring about both convenience and new forms of cyber threats. These threats, ranging from phishing scams to deepfakes, pose significant challenges, especially in the areas of financial services and personal security.

To address these pressing issues and explore innovative solutions, experts convened at a recent APAC Anti-Fraud Roadshow. Among them were Penny Chai, SamSub VP of Business Development; Edmund Ray Milanes, Head of Orion Managed Security Services at Nexus Technologies; and Chuan Wee Lye, SamSub Senior Business Development Manager.

Chuan painted a harsh reality of the fraud landscape in the Philippines, with $623 million lost to phishing fraud and another $409 million from account takeovers in 2022 alone. These figures are staggering, and they are made worse by the fact that many people don't report being victims of fraud due to embarrassment. This leads to the true numbers being much higher.

To help curb these financial crimes, there is a need for robust measures like the Anti-Financial Accounts Gaming Act. Reflecting on the impact of AI, Chuan highlighted its dual nature.

“AI empowers both consumers and fraudsters alike. The proliferation of deepfakes, for instance, has increased 45 times, making identity theft and automated fraud easier than ever,” he said.

Chai elaborated on the vulnerabilities in current verification systems. OTP (One-Time Passwords), once a trusted method, is now easily copied. This paves the way for fraudsters to easily gain access to accounts and carry out fraudulent activities.

“There are so many ways to spoof the system today. We definitely need advanced technology like AI in fraud detection to combat these threats effectively,” she said.

Milanes delved into emerging cybersecurity threats, noting that phishing remains a primary concern, coupled with social engineering. Biometric vulnerabilities, like master prints and deepfakes, further complicate security measures.

“It’s not just about securing systems but also educating users to recognize and avoid potential threats,” he said, emphasizing the shared responsibility in cybersecurity.

Milanes also raised concerns about cybercriminals exploiting vulnerabilities in public websites and e-commerce platforms. He highlighted challenges posed by breaches in cloud infrastructure, including limited visibility for detecting and responding to threats. As these technologies become essential in business operations, there is a need for comprehensive cybersecurity strategies, particularly in cloud security.

GeiserMaclang CEO and Founding Partner Amor Maclang, also a moderator in the panel discussion, highlighted the role of AI in both averting fraud and promoting economic inclusion.

“AI technology finds applications beyond fraud prevention, contributing to broader economic security,” she said.

Maclang also discussed the Philippines’ stance on the Financial Action Task Force (FATF) gray list, focusing on how the country uses digital assets and digital currencies. She emphasized the role of AI in securing transactions and building trust in financial systems despite regulatory issues.

Her insights stressed the need for tech advancements to create strong cybersecurity and boost economic stability and consumer trust.

“The importance of technological advancements ensures robust cybersecurity frameworks that foster economic stability and consumer confidence,” said Maclang.

Looking ahead, Milanes highlighted the need for continuous adaptation. To combat AI-powered fraudulent activities, we must ourselves leverage AI to bridge the cybersecurity talent gap and enhance protective measures.

The battle against cyber threats evolves as quickly as the technology itself. As AI continues to advance, so too must our defenses. Collaboration between industry, government, and cybersecurity experts remains crucial in safeguarding against emerging threats and ensuring a secure digital future.

The APAC Anti-Fraud Roadshow provided a platform to discuss these critical issues, paving the way for proactive strategies and technological innovations in the ongoing fight against cybercrime.

The above is the detailed content of AI-powered Fraud Prevention: Experts Convene to Discuss Pressing Issues and Innovative Solutions. For more information, please follow other related articles on the PHP Chinese website!