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Revolut prevented $13.5 million in crypto losses for customers via fraud protection measures

Revolut prevented $13.5 million in crypto losses for customers via fraud protection measures

The BlockThe Block2024/10/06 16:00
By:The Block

Quick Take The U.K.-based fintech giant has prevented nearly $13.5 million in crypto losses via enhanced fraud protection measures in the past three months.

U.K.-based fintech giant Revolut said it prevented nearly $13.5 million in crypto losses for customers via enhanced fraud protection measures in the past three months. 

“The company’s proactive approach has seen it significantly enhance its crypto-specific security measures recently, which has led to an increase in the amount of potential fraud it has prevented,” the company wrote in a statement on Tuesday. 

The company, which launched its crypto-specific trading platform Revolut X in the UK earlier this year, said it installed “advanced algorithms” that have flagged 8% of transfers as potentially suspicious between June and September. 

These algorithms are designed to comply with fraud prevention and anti-money laundering regulations while also efficiently processing transactions for customers in real time, Revolut said. 

Accordingly, only one in 5,000 flagged transfers lead to account closure following a more in-depth review process. That represents 0.02% of Revolut’s 45 million customers globally.

Further, Revolut has rolled out an opt-in Wealth Protection feature that uses biometric protections, including selfie verification cross-referenced with a user’s KYC information submitted during the signup process. 

Woody Malouf, Revolut’s group head of financial crime and fraud, added that the company likely prevented $590 million in losses from potentially fraudulent transactions in 2023. 

Chainalysis estimates that crypto-crime was down 20% across the board in the first two quarters of the year despite a surge in reported cases of stolen funds and ransomware attacks.


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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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