The progression of global digital transformation is enchanting as well as astonishing at the same time. Technology is advancing, so are cybercriminals. People tend to avoid physical interaction after the pandemic of COVID-19. Greed among people is increasing by leaps and bounds, resulting in an immense rate of identity theft cases. In 2020, FTC received 4.8 million reports, most of which were identity theft cases. According to Equifax, federal stimulus payments were an effortless target for criminals and were one of the top-rated scams during the coronavirus outbreak.
With every passing day, more and more cyberattacks are encountered. From e-commerce platforms to digital financial transactions, from adult sites to online drug stores, every sector is the target of cybercriminals. Online educational institutions are just another excuse for children to have access to the internet. According to researchers and analysis, 94% of minors within the age group 3 years old to 18 years have access to the internet, out of which 88% have access via computers and 6% have access to the internet via smartphones. The remaining 6% do not have internet access.
Are these online platforms acquiring appropriate measures to dodge unauthorized access and illicit money transfers?
Are the online platforms incorporating reliable and robust measures for the prevention of child exploitation?
It’s high time for enterprises of all sizes to incorporate robust identity verification solutions, especially age verification solutions. Such solutions are mandatory for the protection of minors, combats unauthorized access and illegal activities. Let us have a closer look into the top 5 emerging and influencing trends of online age verification solutions in 2021 and beyond.
1. The Emergence of Artificial Intelligence in the ID Verification Industry
The evolution of artificial intelligence, machine learning, deep learning, and cognitive technology is becoming a new normal in this tech-oriented world. These innovative algorithms play a promising role in enhancing digital identity verification and verify the age of customers effortlessly and effectively. Artificial intelligence has made a prominent entry in numerous industries all across the world, from the travel industry to e-gaming platforms, to financial infrastructures to e-commerce businesses, AI-powered age checks, and customer authentication solutions impulsive combats unauthorized access.
As every coin has two sides, identity theft is getting more sophisticated. They can online be detected with the incorporation of identity verification, especially age verification checks. The concept among people that artificial intelligence will eventually replace humans in the workspace is completely wrong. Artificial intelligence and machine learning algorithms can only enhance the business operations and work efficiency of humans.
2. Customers and Businesses are More Familiar with Data Security Issues
Customers and enterprises of all sizes are becoming more aware of security and privacy issues. As every individual has access to the internet, people are familiar with appropriate data privacy rights and site monitoring that depicts personal data breaches.
According to a recent report, more than 50 percent of online service users consider banking fraud and identity theft as the major concern. These factors are driving demands for robust, reliable, and real-time customer authentication and age verification solutions.
Unquestionably 2020 was a revolutionary year when people took online identity verification and online age verification solutions as something unusual. Tech giants and financial infrastructures are crawling to implement and integrate innovative and robust security solutions backed by cutting-edge technology to satisfy customer demands and to combat fraudulent activities.
3. Digitization is Evolving More in Government Services
It would be wrong to say that online identity verification solutions and relevant age verification checks are only for financial infrastructures. These solutions are mandatory for government institutes, healthcare sectors, and social service providers. Basically, all those sectors which are providing their services online must mandatorily incorporate identity verification, biometric verification, age verification, OCR data extraction, and AML/KYC compliance to make their system more robust and to fight a strong battle against unauthorized access, illicit money transfers, counterfeits, and fraudulent activities.
Solutions such as Shufti Pro play a promising role in intensifying cybersecurity protocols and effectively distinguishing among potential customers and cybercriminals. This depicts that digital identity will become a virtual umbilical cord in the upcoming years that will naturally connect everyone to their social life and the public. 2021 and upcoming years are assuring tremendous evolution and development of government programs that will enforce identity verification and related solutions for customer immunity.
4. The Boom of Blockchain-Based Technologies and Cryptocurrencies
The complete world is accommodated with digital assets. Payments via cryptocurrencies are becoming a new normal. The progressive acquisition of cryptocurrencies and digital assets and utilization of blockchain technology is currently striking record highs. According to the latest experimentation and research, the major players of the financial world claim the ultimate significance of blockchain technology, and it is more than the basis of transactions.
International regulators are focusing more and more on the implementation and acquisition of blockchain transactions. It is necessary to monitor blockchain transactions, and this is possible by the integration of online identity verification solutions and relevant solutions such as age checks. Not only this, but financial infrastructures must also integrate themselves with KYC and AML service providers for frictionless customer onboarding.
5. Digital ID Fraud is Reaching an Extraordinary Scale and Sophistication
Cybercriminals are preparing themselves to take advantage of malicious businesses, especially after the troublesome 2020. Identity theft is increasing with an even more - swift pace in 2021. According to numerous reports, 82% of increments will be observed by the end of summer 2021 in identity theft cases. Considering these evolving statistics, intensification in the sophistication of numerous fraud types can be expected.
With the evolution in digital identity fraud and how cybercriminals are getting more sophisticated, it’s high time for enterprises to incorporate AI-powered identity verification solutions and services to take over synthetic identity fraud.
New evolving scams are just a new challenge for businesses, and online digital identity verification solutions combat complex frauds and phishing scams.
Conclusion
Businesses deal with different types of data and different sorts of people each day. Considering how effortlessly children of today’s era can have access to the internet, the acquisition of age verification checks must not be neglected at any cost. AI-backed age verification checks are crucial for enterprises of all sizes. Children are getting smarter and can use a false identity or the identity of their parents to have access to such content or products which is not appropriate for their age group.
Considering the fact that unauthorized access is progressing tremendously, enterprises need better solutions to mitigate all the risks of fraud. The war against cybercriminals is evolving into a never-ending arms race. Hence, robust age checks are mandatory to prevent child exploitation and enhance the cybersecurity protocols of organizations.