DEFRAUDIFY – Detect Fraudulent Activities in dark web and clear web to protect your business

22nd July 2023

Project call: ITEA 3 Call 5, Official Project Web
Project duration: October 2019 to September 2023

Project Overview

DEFRAUDify aims to develop tools that help private businesses to detect fraudulent behaviour on the internet. These tools are partly based on existing tools that have been developed for Law Enforcement. They will be adapted to become relevant for private businesses as well. DEFRAUDify aims at businesses that encounter negative impacts from internet organizedorganised fraudulent behaviour. The tools will consist of a set of interoperable tools that jointly analyse suspicious behaviour and provide situational awareness.

Project Objectives

Although various monitoring and detection tools already exist, their effectiveness is reduced by a lack of interoperability. The DEFRAUDify (Detect Fraudulent Activities in dark web and clear web to protect your business) project will therefore enhance functionalities with automated, proactive monitoring that can generate businessspecific threat analyses. A Fraud Intelligence Suite will then combine these tools in a flexible, interoperable manner in order to support visualisation and historical replays. A particular innovation is the deployment of autonomous software agents which use active monitoring to uncover the most relevant intelligence information. Other emphases include privacy by design and quantifiable results to support boardroom decision-making. Three use-cases will demonstrate this: cryptocurrency fraud detection; strategic risk monitoring; and unusual financial transaction assessment.

DEFRAUDify’s most important outcome is the reduction of fraud-related costs via the identification of criminal activities, allowing businesses to prepare against them. In terms of efficiency, for instance, the project expects to reduce the detection time for cryptocurrency scams from four hours to ten minutes, allowing businesses to act before large damage can be inflicted. As for coverage, DEFRAUDify’s trend identification tool should be able to uncover more online communities or activities which are potentially harmful for a specific business than currently is possible. This has the additional benefit of increasing end-user trust in digital services and cybersecurity. Exploitation can be carried out independently by all business partners, but joint exploitation will yield additional power in the global fraud detection and prevention market, expected to reach USD 29.07 billion by 2023 at a 16.42% compound annual growth rate. DEFRAUDify therefore anticipates over USD one million in sales growth for participating commercial companies. The intended standardisation of the interoperability-by-design approach and cyber-risk evaluation will only serve to expand the market potential of this project.