One of cryptocurrency’s main benefits is the ability to conduct trusted transactions swiftly. However, the anonymous and decentralised nature of these transfers can be leveraged by fraudsters to launder money or trick legitimate crypto investors.
In order to keep their customers’ investments truly clean, exchange service Indacoin has adopted Kaspersky Fraud Prevention to stop this practice.
Many fraudsters launder funds from stolen cards or using leaked card details before they transfer them to their bank accounts and it is estimated that around three-quarters of laundered cryptocurrency in 2018 was ‘washed’ with an exchange service.
They are also able to manipulate crypto exchange users to transfer money into another account by impersonating security service members and using tools for remote access.
As this software is legitimate, traditional security solutions may not be alerted to any risks and mark it as dangerous.
These cases not only put users’ investments at risk but also negatively impacts the reputation of exchange services.
It is vital to identify and block these damaging transactions, without affecting the speed of legitimate transfers of funds. The cryptocurrency exchange rate is known to be quite erratic, which means investors rely on their payments being processed very quickly.
Indacoin, a fiat-to-crypto exchange, provides a simplified verification process, which allows customers to use its partners’ services without any additional difficulties.
To eliminate risks of the platform being misused, Indacoin has uses Kaspersky’s automated fraud analysis to uncover fraudulent transactions in realtime. It can also detect fraudster groups through global device reputation and extended fingerprinting analysis, so it is capable of detecting suspicious activity before the act of fraud has actually damaged the business.
With Kaspersky Fraud Prevention integrated into Indacoin’s antifraud system, its efficiencies have rised by 38%.
Anvar Sidorov, director of partnerships at Indacoin, comments: “The crypto exchange has many unique features, but in general, we share the main risks of financial institutions: security of cards and payment information, as well as security of personal accounts and safety of client’s funds.
“The implementation of Kaspersky Fraud Prevention helped to identify highly targeted fraud schemes, identify dishonest users with advanced precision and implement machine learning in the verification system.”
Claire Hatcher, head of business at Kaspersky Fraud Prevention, adds: “We are delighted to be chosen by Indacoin, and it is always great to see a business take cybersecurity seriously.”