Demystifying the Role of Digital IDs in Modernizing Payments

Financial institutions and card companies have traditionally relied on authorization and validation of payments on their platforms using a variety of traditional tools. With fraudsters creating fake social profiles and identities, FIs need to deal with newer and sophisticated methods of frauds that have evolved. As the use cases for payments increase with adoption of FedNow and business models like stablecoins, this panel seeks to explore how digital IDs and bank consortiums would play a role for fraud prevention in these business lines. There are considerable challenges with scripts setting up multiple fraudulent accounts and AI generating synthetic identities; while the real-time and crypto rails help fraudsters to move the cash faster and to international locations. Speakers explore this journey on how adoption of these newer tools is not just a necessity but a liability and loss prevention construct for all parties.