“Cyber criminals are becoming more sophisticated every day, developing new methods and tools to attack banks and e-commerce companies. In the UK, online banking fraud losses have seen a 16 per cent increase in the last two years alone,” said Uri Rivner, cofounder and vice-president of Cyber Strategy and Business Development at BioCatch.
“New methods such as Remote Access attacks (RATs), previously used primarily by state sponsored attackers, are now being used by fraudsters who wish to evade all traditional defenses and originate the money transfer from the real user device.”
(READ MORE: Threat of cybercrime in South Africa grows)
Israeli startup BioCatch was therefore developed as a means to tackle advanced cybercrime.
Using behavioral biometric authentication and threat detection technology, BioCatch is able to track the way users interact with web and mobile banking platforms, enabling it to prevent fraud before it happens.
“BioCatch authenticates users based on the way they behave in an online or mobile application. We create a baseline of the user habits, cognitive choices and behaviours so if someone else operates in their account we spot it,” explained Rivner.
“We don’t store any personally identifiable data, so we don’t actually know who the user is – we just know that whoever operates this account behaves in a very consistent, unique way and if we see someone else inside the account, we’ll alert the bank.”
He added BioCatch is five times more accurate and can identify complex malware attacks that most traditional methods cannot detect.
This advanced cloud based solution is making its way to the South African market, where a large population of mobile users exist, that have limited access to security and authentication controls.
“South Africa has a number of forward-thinking banks that are using state-of-the-art technology to combat cybercrime, but they are still searching for new defence layers as they see the existing defences erode with time. There’s a big mobile banking population and that’s one of BioCatch’s strongest plays so it's a nice fit,” said Rivner.
(READ MORE: S.Africa loses R5.7 billion annually to cybercrime)
To date, the company has raised 14 million US dollars and has deployments with banks in the United States, the United Kingdom, Brazil, Spain and Italy.