Cryptocurrency has been round for almost 15 years however is a wholly totally different beast right this moment than its humble beginnings in 2008. Bitcoin will be the family identify within the crypto business, however there are literally thousands of different cryptocurrencies in circulation, reminiscent of Ethereum, Ripple and Monero, for potential traders to commerce and transact with.
Like all digital fee strategies, nonetheless, cryptocurrencies are susceptible to fraud. Unhealthy actors stole greater than 146 million British kilos (about $196 million) in cryptocurrency in 2021 alone, a 30% improve from 2020, and their schemes are rising even bolder over time. 5 of the ten largest cryptocurrency thefts of all time occurred inside the previous 12 months, together with the biggest assault in historical past, which stole greater than $600 million in a single fell swoop. Ironclad authentication will likely be very important in stopping these heists.
Within the January/February Alternative Payments Tracker®, PYMNTS explores the newest on the earth of different fee technique authentication, together with the ways in which fraudsters try and rip-off cryptocurrency exchanges and the way the usage of buyer authentication methods will help companies of every kind by lowering identification fraud with out introducing new friction into the client expertise.
Developments From Across the World of Various Funds
A brand new report reveals fraud’s injury to the cryptocurrency subject. The examine discovered that unhealthy actors have stolen an estimated $12.1 billion in cryptocurrency property since 2011, with the one greatest heist occurring final yr when greater than $614 million in cryptocurrencies was stolen in a single fell swoop. All instructed, fraudsters have stolen $3.18 billion via safety breaches, $7.12 billion through scams and $1.76 billion via hacks of decentralized finance (DeFi) expertise. Ransomware assaults have grown common in recent times, as have scams involving nonfungible tokens (NFTs).
Regardless of this danger of fraud, youthful generations are investing in cryptocurrency in document sums. A study discovered that 83% of millennial millionaires personal cryptocurrency, with 53% having a minimum of 50% of their wealth within the forex. Practically one-third of millennial millionaires had greater than three-quarters of their wealth in cryptocurrency, with bitcoin and Ether being the 2 hottest choices.
For extra on these and different different funds information objects, obtain this month’s Tracker.
How Travala Navigates Cryptocurrency Fee Acceptance
Cryptocurrency funds have seen a large upswing up to now few years as they develop in worth and customers develop extra conscious of their privateness advantages. It comes with numerous points, together with lengthy processing occasions and a danger of fraud, nonetheless.
PYMNTS Intelligence: Defending Cryptocurrency Funds From Id Fraud
Cryptocurrency is likely one of the fastest-moving traits within the monetary business, with greater than 6,000 totally different currencies available on the market as of the tip of 2021. These identical components additionally make it an interesting goal for fraudsters, nonetheless, as 2021 saw greater than 146 million British kilos (about $196 million) stolen in cryptocurrency heists.
This month’s Deep Dive explores the varied threats going through cryptocurrency customers and the authentication measures that would show useful in stopping them.
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