BioCatch unveils world's first behavior-based financial crime intelligence-sharing network

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Nov 20, 2024, 03:00 ET

BioCatch Trust™ Network initiative now live in Australia, other countries to follow

NEW YORK, Nov. 20, 2024 /PRNewswire/ -- BioCatch today announced the launch of the BioCatch Trust™ Network, the world's first inter-bank, behavior-based, financial crime intelligence-sharing network. The BioCatch Trust™ Network initiative protects member bank customers against financial crime, scams, and fraud by assessing in real time the trustworthiness of the accounts to which they direct their transfers and payments. If the network deems a receiving account untrustworthy, it shares this intelligence with the sending bank in real time, allowing the sending institution to suspend and investigate the transaction before any money leaves the sender's account.

"Scam payments are nearly always transferred to mule accounts through which scammers launder their profits before withdrawing them," BioCatch CEO Gadi Mazor said. "To combat this rampant criminal activity, it's crucial for sending and receiving banks to collaborate and share intelligence in real time to proactively identify these money mules and halt payments to them. This cooperation can dramatically reduce the number of scam victims and significantly disrupt criminals' ability to launder their illegally acquired money. We know the bad actors behind these attacks swap tactics, strategies, intelligence, and technology with other rival cybercriminals. We're proud to now offer banks an opportunity to join their own intelligence-sharing network to fight back."

The global leader in digital fraud detection and financial crime prevention powered by behavioral biometric intelligence, BioCatch launched the BioCatch Trust™ Network in Australia earlier today, with five of that nation's largest banks as founding members. The network's foundational behavioral intelligence engine ingests country-specific digital session, payment, account, device, IP and geo-location, and non-monetary event signals to holistically evaluate the trustworthiness of every receiving account before a payment is processed.

This allows financial institutions to proactively protect users from authorized push payment (APP) fraud, and social engineering scams where the fraudster manipulates the victim outside of a digital banking session (many scams originate via an email, text message, or social media post) without introducing unnecessary transactional friction. The BioCatch Trust™ Network accomplishes this while still carefully maintaining user privacy, utilizing proven pseudonymization technology to protect the identities of retail banking customers at member banks.

As more banks contribute account intelligence to the BioCatch Trust™ network, the models that evaluate receiving accounts learn, growing smarter and more effective, offering deeper predictive insights and broader coverage, while learning from billions of historical and validated data points. The network's predictive intelligence fosters real-time financial crime insights, offering immediate protection for all members as soon as a potential risk is identified. There's no waiting for fraud feedback.

"Real-time information sharing enables us to recognize patterns that individual entities may miss, providing a fuller view of criminal activity while protecting sensitive information," 5OH Consulting Co-Founder and former U.S. Secret Service Deputy Special Agent in Charge of Cyber Matt O'Neill said. "Today's financial crime is complex and fast-moving. The ability to securely share actionable intelligence without compromising privacy is what allows institutions, with support from real fraud fighters like BioCatch, to act decisively and prevent the exploitation of our financial systems."

BioCatch Trust™ complements existing networks that share information after a scam has taken place, adding real-time risk assessments for receiving accounts before the sender transfers away any money. BioCatch Trust™ Australia launched earlier this fall. The company expects networks serving other countries to go live throughout 2025.

"Accurately and effectively detecting and preventing authorized payment fraud scams comes down to the ability of both the sending and receiving financial institutions to piece together meaningful context behind any given payment from both the perspective of the sender and the beneficiary," Datos Insights Strategic Advisor Trace Fooshée said. "Those FIs that are confined to seeing only one side of the signals of a given payment will find themselves with insufficient context to make an effective and accurate means of distinguishing between legitimate and fraudulent payments whether on the sending or receiving side of the transaction."

To view the announcement around the launch of BioCatch Trust™ Australia – including commentary from the founding member banks – click here.

About BioCatch:

BioCatch stands at the forefront of digital fraud detection, pioneering behavioral biometric intelligence grounded in advanced cognitive science and machine learning. BioCatch analyzes thousands of user interactions to support a digital banking environment where identity, trust, and ease coexist. Today, 34 of the world's largest 100 banks and 237 total financial institutions rely on BioCatch Connect™ to combat fraud, facilitate digital transformation, and grow customer relationships. BioCatch's Client Innovation Board – an industry-led initiative featuring American Express, Barclays, Citi Ventures, HSBC, and National Australia Bank – collaborates to pioneer creative and innovative ways to leverage customer relationships for fraud prevention. With more than a decade of data analysis, 93 registered patents, and unmatched expertise, BioCatch continues to lead innovation to address future challenges. For more information, please visit www.biocatch.com.

PR contact:

Mac King
BioCatch senior comms manager
[email protected]

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