Fraud Attacks Increase 30% in Q3 2019, as Arkose Labs Report Forecasts Holiday Retail Cybercrime Spree Fueled by Major Data Breaches
New Data Shows a 70% Increase in Bot-Driven Account Registration Fraud, Indicating Cybercriminals Are Testing Exposed Credentials for Future Account Takeover Attacks
Fraud increased 30% overall in Q3 2019 and bot-driven account registration fraud is up 70% as cybercriminals test stolen credentials in advance of the holiday retail season. The Q4 Fraud and Abuse Report today released by Arkose Labs, the platform that bankrupts the business model of fraud and abuse, provides deep insights into the global cybercrime ecosystem and reveals how criminals worldwide are preparing for large-scale attacks on digital commerce in Q4 2019.
After analyzing over 1.3 billion transactions spanning account registrations, logins and payments, the report found that a staggering one in five account openings were fraudulent. Arkose Labs examined transactions in the financial services, e-commerce, travel, social media, gaming and entertainment industries from July 1, 2019 to Sept. 30, 2019.
“Our report shows the evolving nature of the global cybercrime ecosystem. The monetization channels of fraud have become increasingly complex, which means the incentive and victim is not always immediately obvious,” said Kevin Gosschalk, CEO of Arkose Labs. “One thing is clear: the way fraudsters are weaponizing compromised data from recent high-profile breaches highlights the deep connectivity of the global cybercrime ecosystem that goes way beyond selling stolen data or knowledge sharing. One attack is a precursor to another attack, and they can be in two different industries, across two different geographies.”
Account registrations are the most attacked customer touchpoint
Digital account registration has become the identity testing mechanism for fraudsters, evidenced in the sharp increase in account creation attacks. Even when an account creation attack fails, it can provide valuable insight into the existence of an account with the business. This information is then used for more sophisticated account takeover attacks.
The report found that identity testing on social, tech and gaming companies continues to be high. Within the technology industry, fake account creations were nine times more likely to be attacked compared to login attempts, increasing five-fold from the previous quarter. This is because fraudsters are discovering increasingly inventive ways to monetize account creation attacks. An interesting example revealed in the report was abuse detected on a technology platform that offered access to free cloud computing accounts, which was subsequently used to mine for Bitcoin.
“Identity is the new global currency, which explains why fraudsters are prioritizing valuable resources to test and validate identities across disparate industries,” said Vanita Pandey, VP of Strategy at Arkose Labs. “As we enter the next stage of the post-breach era, when identities have been compromised en masse and fraudsters have access to behavioral information on consumers through hacked accounts, it has never been more difficult to validate digital identity. Intelligent step-up challenges can be the missing link to clarify whether an online identity has been corrupted by fraudster or is being exploited by organized sweatshop activity.”
Read More: US Spending on Blockchain to Reach $4.2 Billion in 2022
Elevated attack rate on retail payments transactions forecasts record-high holiday fraud season
Arkose Labs observed a 30% increase in account takeover attacks in the retail industry compared to the previous quarter. Account takeover attacks are a precursor to payment fraud, as most ecommerce companies encourage consumers to create accounts and store payment details to remove friction in the path-to-purchase.
81% of all retail attacks were fraudulent payments transactions, with fraudsters targeting this sector to monetize the identity and payment credentials that have been breached en masse.
“Our report exposes the monetization roadmap criminals take to commit an attack,” said Pandey. “First, fraudsters test credentials – which we are witnessing in profusion across all industries. Next, they take over accounts. Payment fraud is usually the last step in the attack cycle and the overwhelming volume of fraudulent retail payment transactions in Q3 forecasts a very ominous holiday shopping season. Data shows criminals are weaponizing credentials to target businesses when transaction volumes are elevated and all digital commerce companies must be on high-alert.”
“As we head into the holiday season, customer acquisition is top of mind for retailers. Fraudsters know this and will exploit the pressure companies are under to open new accounts and maximize conversion rates,” said Gosschalk.
Human-driven fraud on the rise
Attacks from malicious humans – both lone perpetrators and organized fraud sweatshops—increased 33% over the previous quarter and nearly one in every five attacks are human-driven rather than automated.
Every third attack on financial services is human-driven, with the most sophisticated attacks coming from lone fraudsters with access to stolen identity information and the latest tools. Over half of the attacks from Russia and China are human-driven, and China continues to have the highest mix of human-driven attacks because of the enormous labor pool available.
“The increase in human-driven fraud highlights why businesses need to rethink the role of friction within their authentication strategy. We have spent so much time focusing on acceptance rates, but a little friction is not bad if it allows organizations to properly protect their attack surfaces while giving consumers a simple way to prove they are legitimate,” said Pandey.
Overall, the US experienced the highest number of attacks in Q3 2019.
Read More: 50 Most Popular AI-Influencers of North America
New Attack Incentive Index measures financial motivations by country to commit fraud
Using regional economic indicators combined with proprietary data on known attacks, Arkose Labs created an Attack Incentive Index for countries across the globe. The higher the incentive, the more resources they are likely to put behind attacks while still preserving ROI.
Areas with high incentive levels have more financial motivation to become involved in cybercrime and will persevere longer than average when they meet resistance or friction before abandoning attacks as they cease to be profitable.
Disparities in wages and cost of labor, differing costs of living and the comparative purchasing power of different currencies shift incentive levels amongst would-be fraudsters. For example, based on IMF statistics on purchasing power parity, the Russian ruble is a quarter of the value of the US dollar. Therefore, cybercriminals in Russia stand to gain four times the value from defrauding United States businesses as opposed to acquiring rubles.
Russia, the Philippines and Indonesia all have the highest Attack Incentive Index rating and feature in the top five countries from which attacks originate. Philippines is the top attack originator; fraudsters are driven by the low purchasing power of the region, meaning that there are big gains to be won in defrauding western countries.
“Businesses are coming up against global cybercrime networks which are leveraging regions with high Attack Incentive Index ratings, using the economic realities of different locations to their advantage,” said Gosschalk. “The sooner businesses understand the varying global economic factors which incentivize cyber fraud and inform attack patterns, the sooner they can better protect their attack surfaces. The best defense in today’s fraud landscape is a strategy rooted in prevention, which removes the economic incentive for fraudsters to attack.”
We’re a group of volunteers and starting a new scheme in our community.
Your website provided us with helpful info to work on.
You’ve done an impressive process and our entire neighborhood shall be grateful to you.
We stumbled over here coming from a different web address and thought I may as well check
things out. I like what I see so now i am following you.
Look forward to checking out your web page for a second time.
Hey would you mind letting me know which webhost you’re using?
I’ve loaded your blog in 3 completely different browsers and I must say
this blog loads a lot quicker then most. Can you suggest a good hosting provider at a honest price?
Thanks, I appreciate it!
First off I would like to say terrific blog!
I had a quick question which I’d like to ask if you
don’t mind. I was interested to find out how you center
yourself and clear your head prior to writing. I’ve had a hard time clearing my mind in getting my thoughts out there.
I do enjoy writing however it just seems like the first 10 to 15 minutes tend to be wasted simply just trying to figure out how to
begin. Any recommendations or tips? Appreciate it!
Copper scrap branding Copper scrap trade policies Salvage metal recycling
Copper cable recycling plant, Scrap metal collectors, Copper fitting recycling
Appreciating the dedication you put into your site and detailed information you offer.
It’s good to come across a blog every once in a while that isn’t the same unwanted rehashed
information. Wonderful read! I’ve saved your site and I’m adding your RSS feeds to my Google account.
acquisto di farmaci marca Mylan Reckitt Benckiser Lissone Pharmacie
en ligne pour acheter médicaments France
médicaments en vente libre en France heumann Chalco
ordenar medicamentos en São Paulo
что означает если снится бывшая
свекровь заговор чтобы быстро женится во сне найти клад с драгоценностями
к чему снится ломать старый дом и
строить новый тест прогрессивные матрицы равена для детей,
тест равена для детей онлайн
молитвы для крещения ребенка отче ведьмак 3
на ощупь баг, ведьмак 3 лампа гадания онлайн что делает муж сейчас
молитва перед употреблением просфоры, молитва на принятие крещенской воды
к чему снится моча кошки
во сне сниться заколках китайский зодиак рыбы снится что задушила человека
скачать антологию игры герои
меча и магии 5 антология карты таро гадать бесплатно здоровье
medicijnen online bestellen zonder tussenkomst van een dokter Almus Caicedonia aankoop van het merk Mylan medicijnen
Online apotheek voor medicijnen in Rotterdam galpharm Hafendorf medicijnen bestellen met gegarandeerde kwaliteit
achat médicaments en Sénégal stada Majagual Acheter de la médicaments sans ordonnance :
est-ce risqué ?
бесплатная консультация расклад таро как определить точно мой знак зодиака можно ли
слушать молитву по телефону
пословица со словом сердце,
пословицы про голову часто снится аэропорт
зияткерлік сайыс бастауыш сынып, сайыс сабақтар бастауыш сынып тарт деко отзывы, артдеко интерьер кішірек көкшіл көз жол ол, ак жол сайт
Hello there, You’ve done an excellent job. I’ll certainly
digg it and personally recommend to my friends.
I’m sure they’ll be benefited from this website.
Link exchange is nothing else but it is only placing the other person’s weblog link on your page at appropriate place and
other person will also do similar in support of you.
It’s not my first time to pay a visit this site, i am browsing
this web site dailly and obtain fastidious data from here everyday.
балалар бас ауруы, бас ауырғанда не
ішу керек инеу специальности после
9 класса, колледж инеу геопотенциальная высота,
изогипсы метеорология өзен бөліктері, өзен жиілігін қалай анықтайды
смарт-часы самсунг, смарт-часы самсунг женские невропатолог
уральск детский, хороший детский невропатолог уральск лимфа түйіндерінің ұлғаюы, лимфа түйіндерінің қатерлі ісігі жетім жүрек 1 сезон,
жетім жүрек 2 сезон 50 серия
You really make it seem really easy together with your presentation but I find this matter to be actually one
thing which I feel I would by no means understand. It sort of feels too complicated and very vast for
me. I am taking a look ahead on your next post, I will attempt to get
the dangle of it!
ньютон биномы 10 сынып, ньютон биномы және
оның қасиеттері қабылдаудағы жеке дара айырмашылықтар
және олардың дамуы туралы теориялар, байқау және байқағыштық алтай тауы табиғи зоналары, батыс алтай табиғат зоналары финал чм-2022 пенальти, мбаппе
голы за чм-2022
химический элемент аккорды,
рабочий учебный план колледжа казахстан
бота значение имени, бота перевод с казахского на русский pasito 2 инструкция,
pasito 2 картридж қатты жапырақты ормандар, солтүстік америка материгіндегі
экваторлық орман зонасы
мемлекет тарапынан заңдастырылған нормалар жүйесі, ұлттық қауіпсіздік стратегиясы назель аптека
сырым датова, назель аптека телефон
что брать с собой в аквапарк гавайи, аквапарк майами
апорт цены сор показатель развития общества, показатель развития общества: свободное время сор ответы
қарғын романы не туралы, қарғын
романы композициялық талдау aitube аппақ келін 2 сезон 8серия, аппақ келін 2 сезон 9 серия
жылама анажан скачать, тимур досжанов
баскаша скачать бесплатно ақпаратты не үшін қорғау керек, интернеттегі ақпаратты қорғау
мақыл немесе мақұл, батырлық туралы мақал орысша суйгеним
боп жазыласын менин багыма поет девушка, суйгеним боп жазыласын багыма кавер курсы проектирования электроснабжения казахстан, учебный центр описание құнанбай бейнесін ашатын сөздер, құнанбай
мен абай мінездеме
где сейчас назарбаев и его семья, назарбаев где
сейчас живет отан қорғау күніне құттықтау, отан қорғаушылар күніне тақырыптар сколько
рлс в россии, виды разведки бир коргеннен алга бастым кадамды скачать, бир кадам текст
ақшаға арналған қара сиқыр
трк удп, удп рк структура автодом на колесах в казахстане,
дом на колесах астана аренда адай түрікмен соғысы,
туркмен адай руы
жк берекет алматы, жк по саина алматы дыбыстың қандай түрлері болады, дыбыс
толқынының қаттылығы қандай шамаға тәуелді
digi digi odessa скачать, digi digi maso 15 минут құрбылар әні, бақыттымын құрбылар
текст
отбасы банк отзывы, вся правда
о жилстройсбербанке елде көп бұл бидайдай адам, бидайдың сипаты арқылы
берілген адам мінез-құлқын қарасөзбен жазыңдар части речи на русском языке, служебные части речи – это чему равно значение глубины данной рекурсивной функции при n = 21,
рекурсия это
I am young and dirty and I think quite nice to look at. My tits are natural and my nipples are real cams show. Hehe now don’t keep me waiting and let’s go before someone else does and calls me.
médicaments génériques prix le plus bas nepenthes Dreux medicamentos precio en Costa de Marfil
1 5 моль сілтілік металды суда еріткенде түзілетін сутегінің көлемі, 0,5 моль
неон атомының көлемі отели дубая все включено на первой линии, отели рас-эль-хайма все включено тоталитарлық жүйе элементтері,
тоталитарлық жүйе артықшылығы
онлайн кз, http://www.halykbank для физических лиц
самса турлери, самса жасау жолдары шын бақытқа жеткізетін жол біреу, әл фараби
философиясындағы бақыт мәселесі
балалар сүйек жүйесінің қалыптасуы,
тірек қимыл жүйесінің бұзылуы демографиялық саясатты ұстанатын
елдер бар ма, демографиялық саясат қазақстан
мұғалім тұлғасына қойылатын талаптар, педагогикалық мамандыққа қойылатын талаптар distar 45, купить насадка на болгарку для резки
под углом 45° кто создал конституцию рк, сравнение
конституции 1993 и 1995 рк қайырымды қала тұрғындары әл фараби, қайырымды қала тұрғындары не
туралы
medicamentos sin efectos indeseables Galena Opera medicijnen bestellen in België online
веснушки во сне исламский сонник самая женственная
женщина знак зодиака если снится что изо
рта
туфли во сне – к замужеству,
к чему снятся новые туфли на каблуках 2004
год кого по славянскому календарю, 1986
год кого по славянскому календарю
заработок в интернете на заданиях с выводом денег телеграм работа подработка
новосибирск сайты с заданиями для заработка
отзывы реальных людей ваш дом работа на карантине
варианты дополнительного заработка кто такой художник передвижник удаленная работа в сети на
дому где быстро заработать 100 тысяч рублей
гадание с помощью кольца на пол ребенка хирон в астрологии это, хирон в натальной карте это к чему снится метель за окном
гороскоп для близнецов на месяц для женщин счастливое
числа по гороскопу