Deepfake usage continued to be a top fraud trend in 2023 [1], according to Sumsub’s 2022 report [1]. Alongside complex fraud patterns and advanced forgeries [1], deepfake attacks were prevalent, with Spain experiencing the highest number of incidents. Fraud attacks also increased across all Latin American countries [1]. This article aims to provide a comprehensive overview of the deepfake landscape, including regional trends, the rise of AI-powered fraud techniques [4], and the importance of behavior authentication in regulated industries.
Description
Deepfake audio and video attacks saw a significant 10x increase from 2022, accounting for most of the observed AI-powered fraud techniques [4]. North America witnessed a 1,740 percent increase [1], followed by APAC with 1,530 percent, Europe with 780 percent, the MEA region with 450 percent [1], and Latin America with 410 percent. The APAC region [2], specifically Vietnam and Japan, experienced a surge of 1,530 percent in deepfake cases, making it the second-highest region for this type of fraud [2]. The report also highlights a rise in sophisticated scams and money laundering cases globally [2]. The top-5 identity fraud types in 2023 were AI-powered fraud [2], money muling networks [2], fake IDs [2], account takeovers [2], and forced verification [2]. Crypto and fintech sectors were the main targets for AI-driven fraud.
To combat AI-powered fraud [2] [4], countries are implementing measures and regulations such as enhanced monitoring for suspicious transactions and additional customer authentication [2]. China has taken the lead in deepfake regulation with the “Regulations on the Administration of Deep Synthesis of Internet Information Services.” Other emerging trends include the need for more robust regulatory responses [2], non-document verification for confirming identities [2], stricter rules for online media identification [2], enhanced data security [2], and the use of network analysis to uncover fraud [2].
Europe [1] [3], particularly Spain [3], the UK [3], and Germany [3], faces significant challenges in dealing with deepfake occurrences due to their advanced digital infrastructure and high online presence. AI-driven fraud remains a prominent issue [3], with crypto and fintech sectors being the primary targets. The number of AI-generated deepfakes has increased tenfold from 2022 to 2023 [3], posing risks of identity theft, scams [2] [3], and misinformation campaigns [3]. As a result, AI safety will be a key focus of regulations in 2024, and companies should prioritize measures to address this growing concern. The report also emphasizes the importance of behavior authentication, which utilizes biometric authentication algorithms to learn typing rhythm and device interactions [1], particularly in regulated industries like finance and healthcare [1].
Conclusion
The rise of deepfake attacks, along with complex fraud patterns and advanced forgeries [1], has posed significant challenges globally. The APAC region witnessed a surge in deepfake cases, while Europe, specifically Spain, the UK [3], and Germany [3], faced notable challenges due to their advanced digital infrastructure. AI-driven fraud [2] [3], particularly targeting the crypto and fintech sectors, remains a prominent issue [3]. To combat this, countries are implementing measures and regulations [2], with China leading the way in deepfake regulation. The future will see a focus on AI safety and the need for more robust regulatory responses, non-document verification [2], stricter rules for online media identification [2], enhanced data security [2], and the use of network analysis to uncover fraud [2].
References
[1] https://www.biometricupdate.com/202311/deepfakes-ato-now-entrenched-as-top-id-fraud-trends
[2] https://www.prnewswire.com/apac/news-releases/apac-deepfake-incidents-surge-1530-in-the-past-year-amidst-evolving-global-fraud-landscape-301999070.html
[3] https://www.informazione.it/c/9610C3BB-E9CD-46CA-8F16-C372DD015EC8/Sumsub-Research-UK-Deepfake-Incidents-Surge-300-from-2022-to-2023
[4] https://www.infosecurity-magazine.com/news/deepfake-identity-fraud-surges/
