Mastercard and Feedzai Join Forces to Safeguard Crypto Consumers
In a groundbreaking collaboration, Mastercard, a global payment industry leader, has joined forces with Feedzai, a financial crime and risk management solution provider, to bolster crypto fraud protection for millions of consumers worldwide. This partnership seeks to address the alarming trend where 40% of fraudulent transactions flow directly from bank accounts to cryptocurrency exchanges, as revealed in Feedzai’s recent report, “The State of Global Anti Money Laundering (AML) Compliance Report 2023.”
Feedzai is proud to partner with financial services giant @Mastercard to protect consumers worldwide from the threat of cryptocurrency fraud.
Under the partnership, Feedzai will integrate Mastercard’s crypto intelligence solution, @ciphertrace Armada, into our RiskOps platform,… pic.twitter.com/T711JkxMJw
The rise of cryptocurrencies has posed significant challenges for financial institutions, particularly in anti-money laundering (AML) compliance. As criminals increasingly turn to crypto for their illicit activities, effectively monitoring these digital assets has become a pressing concern.
Mastercard’s Ciphertrace Solution
To combat this issue, Feedzai and Mastercard are integrating Mastercard’s cutting-edge crypto intelligence solution, Ciphertrace Armada, into Feedzai’s RiskOps platform. RiskOps is a formidable tool that annually analyses transaction data amounting to over $1.7 trillion. It harnesses the power of artificial intelligence (AI) to thwart fraud and financial crime at its source. This integration will empower banks to receive real-time alerts when a transaction appears fraudulent, allowing them to intervene promptly.
Protecting Consumers
Ciphertrace Armada enhances the ability of banks, cryptocurrency exchanges, wallets, crypto ATMs, and other Virtual Asset Service Providers (VASPs) to assess the fraud risk in digital asset transactions. By combining these technologies, Feedzai’s customers, collectively safeguarding over 900 million consumers globally, can now proactively identify and prevent transactions involving fraudulent crypto exchanges before they occur.
Mastercard’s Commitment to Security
Mastercard’s dedication to safeguarding its vast global customer base aligns seamlessly with Feedzai’s mission. Criminals frequently exploit cryptocurrencies as part of their scam strategies, with the ill-gotten gains often channelled into unauthorised or risky crypto exchanges. Moreover, as criminals continually refine their techniques and money laundering methods evolve, AML professionals face a formidable challenge. This collaboration empowers banks to protect their customers from the risks associated with crypto, fostering trust within the ecosystem.
Ajay Bhalla, President of Cyber and Intelligence at Mastercard, expressed enthusiasm about the partnership, stating, “We’re providing financial institutions with the insights they need to prevent transactions involving fraudulent crypto exchanges. We are delighted that, through this new partnership, we can go further by helping to stop fraud and payments to scams before they occur, giving customers more choice, security, and most importantly, reinforcing trust.”
As the digital ecosystem continues to evolve, this partnership between Mastercard and Feedzai marks an exciting step in securing it against the ever-growing threats posed by crypto fraud. With enhanced capabilities for detecting and preventing fraudulent transactions in real time, consumers can rest assured that their financial interests are well-protected. This collaboration is a testament to both companies’ commitment to maintaining the integrity and security of the economic landscape in the digital age.
