Deduce Raises $9M to Tackle AI-Generated Identity Fraud
September 2023 by Marc Jacob
Deduce announced $9M in funding led by Freestyle Capital, with additional investment by Foundry and True Ventures. The funding will launch Deduce’s GenAI Identity fraud solution out of stealth and help the company scale to prevent large-scale SuperSyntheticTM identity fraud across multiple verticals, including the financial service industry, fintech, and e-commerce.
The rise of Generative AI has accelerated efficiency across industries, including organized fraud, with the introduction of platforms such as FraudGPT. Bolstered by these new technologies, fraudsters can leverage AI and stolen PII to create batches of credible digital identities, authenticate those identities with deep fake biometrics, and create online transactional histories. Utilizing this technology, cybercriminals can leverage automation to create a virtual army of SuperSynthetic identities that are indistinguishable from legitimate identities.
Detecting AI-generated identities requires a massive identity graph that sees the vast majority of the online U.S. population several times each week. Deduce will leverage multi-contextual activity-backed intelligence to help organizations identify Super Synthetic identities during account opening and “sleeper” identities already onboarded.
Deduce utilizes multi-contextual intelligence to gather and analyze extensive real-time data from diverse sources to recognize identity patterns and flag the digital forensics patterns created by AI-generated fraud. By leveraging these patterns, Deduce can identify unusual behavior in otherwise normal-looking identities and flag them for review.
The Deduce AI-generated identity fraud solution is currently available through industry-leading partners, including Experian, ForgeRock, Auth0, and Ping Identity.