Hi, my name is Ndubuisi Obirije. I'm the co founder and CTO of Afreex. welcome to my session. on discomfort to incident management conference. I'll be talking about AI power detection and monitoring of social engineering driven fraudulent payments and remittances. let's start with the growing threats of remittance fintech. social engineering, is a situation where, there's a manipulation of individuals to gain access to sensitive information, or perform actions that benefit a fraudster. in the remittance world, this could involve, tracking someone, into, tracking someone in their email, and also tricking them to give access, give the fraudulent or the fraudster access, to, an innocent, person's email, social media pages, et cetera. And basically once this is done, you. It essentially tricks, the victim into authorizing payments, for these fraudsters. social engineering is like a circle, right? usually fraudsters start by gathering information, right? After gathering information, they could, send you a phishing email. they could buy data online, of their potential victims. And then once they've done that, they now establish relationships, right? they try to get in touch with their victims. and to establish like a connection, right? So the victims don't become suspicious at all when the exploitation starts. So after establishing relationship, it goes on to exploitation. So at this stage, the victims don't realize they are, they're in the nets of this fraudsters. and then the next thing is execution, those fraudsters. execute their plan, it could be to, trick the customers, trick the victims into making a payment online through Amazon, through eBay, et cetera. but before we start going deep into, what these explanations are, let's look at AI in fintech, let's look at some key statistics, of what the impact of AI, have right now in the sector. basically it's transforming the sector as it's called. We've seen chat GPT, we've seen, cloud, from Entropiq and the other, LLMs out there today. And this AI can help give us valuable insight into the adoption of, FinTech. And I think it's just the, it's just the tip of the iceberg right now. Some of the key things we've, we've seen is, there's exploitative, explosive growth, right? the global fintech market is currently worth 340 billion, with the AI segment valued at 44 billion. Now, the AI share in fintech is expected to reach 50 billion over the next five years, and then there's widespread adaptation, 72 percent of companies that utilize, utilizes AI, in one of their key business functions, And others are planning to even expand to use it and expand on, using data technologies and AI technologies for their businesses. Now, also it's helps in key cost savings. Implementing AI in businesses. We have seen that, it saves companies, businesses, millions of dollars. So it's, for example, implementing identity verification for banks is projected to 900 million in operational costs reduction. this is massive, right? Onboarding process are now digital and onboarding process would be close to 29 million hours, in, in, in onboarding process for banks and most key fintechs today, this is massive. And this also improves the customer service, section of these companies. we can see charts boards, That started years ago, we've seen virtual assistants, from, chat GPT, real time, voice communication. I'm excited, and I think the feature is exciting for real time customer interactions. it reduces cost of inquiries. then there's enhanced. Efficiency in the every time to spend, every time spent by digital onboarding have drastically reduced by 30%, thanks to AI. So these are like highlighting some of the potential of, of AI in our financial space, today. now let's talk back to what's back to what we're thinking about. fraud stars and fraud lend transactions. So what are financial crimes? today. So there's financial crime and then there's compliance. Now, financial crime isn't any activity that involves financial gain. by using illegal means, even if it means hiding some processes from, their victims, that is a financial crime and then the compliance side, financial compliance is when organizations deploy in a strategies to prevent, Financial crimes, strategies and reports to prevent any illegal, activity. Now, the, some of the shocking statistics today is that there have been over 800 billion to 2 trillion worth of money laundry globally. this is unprecedented. And we are seeing this number increase yearly. And you know, the interesting thing is this is not going to stop. we don't have the capacity, the human capacity to stop, financial crimes and laundering, but we have a savior. I know it's a heavy word to say savior, but we have a tool that can actually help us prevent so many types of fraud. For example, phishing. identity thefts, these are like one of the two, two basic and two core, ways in a first that can, do financial crimes. So phishing is basically an attempt to collect sensitive information, like username, password, bank information, etc. identity theft. Identity theft involves stealing someone's personal information, some for starts by credit cards, debit cards, SSNs, IDs online, on, on forums, and pose as this, as their victims. Now, how do we leverage AI to, to prevent this? One, for phishing, with advanced machine learning and algorithms, we can analyze patterns of communication, right? To, identify any phishing attempts, there could be things like, the algorithms that could check out for emails with suspicion subjects and contacts. And then this. machines, this AI could alert, either the owners or alerts companies, especially when, this is targeted at employees of a particular company. And now for identity thefts, we can leverage AI by, using current and improving, identity verification solutions, today, I think there's a lot of room for improvements. In identity verifications and AI is there for us to, utilizes, utilize it. Now, I know I've already identified about two. There are other types of other types, which are not, they are also important, but the two I initially mentioned that like the core, these are like. The, usually the first steps, for starts try to, get, gain access to the victims. Now, but there are other things like money mulling, documents forgery, accounts take over. And, the interesting one, which is most recent is deepfake. we've seen the rise of, generative AI, how it's easy to create deepfake even in videos and in voice. It's scary. It's scary feature ahead, just as AI can be used for, but it can also be used to checkmate this, bad and, checkmate evil, persons that want to use it for that. no, I want to take a breather and, highlights. Some of the things I've seen, we've seen in, in Nafra is my company, we've seen over 80 percent accuracy in flagging social engineering attempts, in our platform. This is huge, in less than three months we deployed, AI solutions, to detect, for the event activities, especially such engineering, we've seen, we've seen the patterns and we've identified those patterns and AI is just there to automate those patterns and catch them, and we've seen 80 percent accuracy and we have saved over 1 million in fraudulent transactions in a very short period of time. And we've also seen reduction in false positives and investigative time because, our compliance team leverage, the transactions have been flagged, but the potential, activity that was flagged by our AI system. it has really give, reduce the investigation time for our compliance team. And, I know I've already spoken about, the processes, or some of the activities for stats and use, but just to break down some of the common victims we've seen, we've encountered, 70 plus years adults, older adults, 70, and above, we've seen. S fraudulent activities on this age group. We've seen from 18 to 34 years, we've seen from 34 to 50 and so on. So every, age group does a specific, they're all targets. Everyone's a targets basically, whether you're an older adult, younger, your adults UA targets and. it's not going to stop, it's not going to stop anytime. So, there have been surveys that showcase, there's certain types of age group that are susceptible to, fraud, to fraud that are especially victims. you can check that on my slide later. So, to reiterate, I am very, I am super excited on how AI solution can combat financial cramps, it's just, it's an emerging space. None. It's not a new, it's not a new space, we've seen new emerging technologies that is exciting. to now advance the level of which previous AI detections, is that, we can now detect anomaly, we can now do real time monitoring, we can do predictive analytics, we can do network analytics and with natural language processing, we can now you know, for example, someone who posed to be an African American, but he's speaking like an Asian American, from identity theft. These are some of the things that AI can detect and from natural language processing and combats, those that poses as other people, these are some of the exciting things, we've seen out there. So to wrap up, these are my key takeaway. no one is immune. Everyone is, anyone, everyone can fall victim for fraud. Anyone can fall victim for fraud. because criminals are opportunistic. they target individuals from all across every age group. vulnerability vary also. but we need awareness and education. So we need to start. Empowering individuals with the knowledge on common scams, but at the same time putting, air detection systems in place that would, allow this individuals when something goes wrong so they can take preemptive actions. so these are some of the things, I would like us to take away from this talk and things that I You know, I'm excited, to, improve even in my company, for others that are here. so thank you very much for, listening so far. I hope, you've learned one or two things on, and I'm excited. you can say I'm really excited on in this space and I'm hoping there, we'll see companies, emerge that would. efficiently leverage AI to combat fraud, especially social engineering fraud. Thank you very much. I remain Nwc John Umberidje. You can reach me at my email, johninterface. co. if you have any further questions or, you want to chat or you find this doc interesting, or you can visit my website. My company website afriaisapp. com, Afrais is a platform that helps immigrants to send money back home from the U. S., U. K., we're in over 20 countries now. Please visit, and I'm excited for the future. Thank you very much.