Information Technology
Democratization of Fraud Tech: $1,000 Can Cause $2.5M in Monthly Business Losses, Sumsub Report Reveals
from Sumsub's report include:
says .
The report provides a closer look at identity fraud trends of 2024 to see regional differences and make comparisons between countries:
In 2024, deepfakes—manipulated images, videos, or voices used to impersonate individuals—have become commonplace, with their share among all detected fraud reaching 7% in 2024. Alarmingly, AI and deepfakes are changing the misinformation landscape, with recent AI-generated images of Donald Trump and Kamala Harris impacting electoral campaigns.
According to Sumsub's Fraud Exposure Survey, 81% of all respondents expressed concerns surrounding the impact of deepfakes on election integrity. At the same time, global consumers reported the lowest level of trust in online media at 48 out of 100 points. Sumsub data indicates that in 2024, deepfakes continue to grow globally, showing higher growth rates in the developing markets: the Middle East (643%), Africa (393%), and LATAM & Caribbean (255%).
explains .
The economics of fraud have shifted dramatically, making it easier and cheaper to execute large-scale operations with minimal investment. The rise of "fraud as a service" (FaaS) models allows fraudsters to outsource key aspects of their operations to specialized providers.
On average, a single fraudster can commit around 100 fraudulent activities annually, as supported by industry reports like the Verizon Data Breach Investigations Report . The fraudster economics, explained in the report, highlights that an average potential annual income could be , or – with as little as a monthly investment.
To learn more and download the full , please go to https://sumsub.com/fraud-report-2024/
The Sumsub 2024 Identity Fraud Report compares data from 2023 and 2024. In certain cases, 2021-2022 data is also taken into account to observe trends. The report is based on aggregated and anonymized verification statistics on millions of users from 28 industries worldwide, with 3,000,000+ fraud attempts studied. All graphs and infographics are based on internal statistics compiled from the data of consenting customers.
To delve deeper into the state of identity fraud, Sumsub conducted a Fraud Exposure Survey in August 2024 , gathering insights from both consumers and companies. The survey included 1,000+ end-users as well as 200+ fraud and risk professionals from companies of various sectors, including banking, crypto, payments, e-commerce, trading, and iGaming.
Sumsub is a full-cycle verification and ongoing monitoring platform that secures the whole user journey. With Sumsub's customizable KYC, KYB, Transaction Monitoring, Fraud Prevention and Travel Rule solutions, you can orchestrate your verification process, welcome more customers worldwide, meet compliance requirements, reduce costs, and protect your business.
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