October is Nationwide Cybersecurity Consciousness Month within the US—though these in fintech and monetary providers might be forgiven for feeling as if each month is cybersecurity consciousness month.
This isn’t to say that the specter of fraud and monetary crime is any much less vital in well being care, client expertise, or some other sector of the financial system. However the details are arduous to disregard. In keeping with the New York Federal Reserve, monetary providers firms face 300x extra cyber assaults in comparison with firms in different industries. In spite of everything, that’s the place the cash is—to say nothing of a treasure trove of knowledge on banking prospects, debtors, buyers, and extra.
Moreover, the affect of fraud and monetary crime on monetary providers firms and their prospects might be considerably larger, as nicely. Estimates point out that the typical breach price within the monetary sector is greater than $6 million, in comparison with the worldwide common of $4.9 million. In truth, the monetary providers sector is second solely to healthcare on the subject of the typical price of an information breach.
Launched within the first half of the yr, Alloy’s 2025 State of Fraud Report famous {that a} sizable quantity (60%) of economic establishments and fintechs reported fraud development throughout each client and enterprise accounts over the previous yr. The excellent news is that, in contrast to in AI, the place there stays some skepticism concerning the potential advantages versus prices and dangers, Alloy noticed that 87% of establishments queried believed that investing in fraud prevention—particularly by way of deploying identification threat options, constructing in-house anti-fraud options, and including expertise to fraud groups—outweighed the prices.
Newer reviews on fraud and monetary crime underscore further challenges. The Kroll 2025 Monetary Crime Report, which surveyed 600 worldwide executives, famous {that a} rising variety of executives concern an acceleration in monetary crime, with 71% believing monetary crime dangers will improve in 2025 in comparison with 67% in 2023. Alarmingly, the executives additionally confessed a large hole between their considerations concerning the accelerating tempo of economic crime and their very own group’s preparedness to battle it, with solely 23% of these surveyed believing their compliance packages had been as much as the duty.
As for the query of whether or not AI is an efficient instrument to battle monetary crime or a brand new and harmful weapon within the palms of fraudsters, the reply, unsurprisingly, is “sure.” Simply over half of these executives surveyed (57%) imagine AI is a profit to preventing monetary crime whereas slightly below half (49%) imagine AI represents a big threat and vector for fraud.
Better of Present winners lead the battle towards monetary crime
With fraud and monetary crime threats on the rise, it’s no shock to see a rising variety of firms on the Finovate stage whose improvements are devoted to preventing fraud, scams, and different monetary crime. In truth, 2025 was the primary yr since COVID that featured a fraud fighter in each Better of Present profitable cohort: FinovateEurope, FinovateSpring, and FinovateFall.
Right here’s a take a look at a few of our Better of Present profitable alums from latest years who’re innovating within the subject of economic crime and fraud prevention.
Casap – Affords a co-pilot and collaboration platform that absolutely automates dispute administration and empowers monetary establishments and fintechs to extra successfully battle first-person fraud.
Herd Safety – Leverages AI-driven detections, coaching content material, phishing simulations, and workouts to make customers an energetic and engaged a part of defending their firms and organizations from fraud and cybercrime.
Keyless – Equips firms with biometric authentication expertise that reduces account takeover (ATO) fraud by as much as 80%, and verifies a person’s real identification along with their gadget in 300ms or much less.
Illuma – Affords a real-time voice authentication answer that replaces conventional knowledge-based authentication, enhances the caller expertise, and improves operational effectivity whereas stopping fraud in touch facilities.
Corsound AI – Leverages 200+ patents to supply voice-to-face and real-time deepfake detection. The corporate’s expertise leverages the distinctive correlation between voice and facial options to authenticate identities precisely.
1Kosmos – Combines identification proofing, credential verification, and robust authentication to allow distant identification verification and passwordless multi-factor authentication to allow staff, prospects, and residents to securely make the most of digital providers.
Trulioo – Protecting 195 nations, Trulioo presents an identification platform that verifies greater than 14,000 ID paperwork and 700 million companies, whereas checking towards greater than 6,000 watchlists.
Picture by Thorium on Unsplash
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