To bolster efforts in monitoring and blocking fraud within the crypto industry, Mastercard revealed it has entered a strategic partnership with Feedzai, a regulatory technology platform.
Feedzai will seamlessly integrate with Mastercard’s CipherTrace Armada platform, enabling banks to monitor transactions from over 6,000 crypto exchanges for fraud, money laundering, and suspicious activities.
Feedzai is a data science company that specializes in developing real-time machine learning tools to identify and prevent fraudulent payment transactions, thereby minimizing risk in the financial services, retail, and e-commerce industries.
The company’s RiskOps platform leverages machine learning and big data to combat financial crime and fraud, offering solutions for banks, merchants, and processors to manage financial risk and protect customers.
Feedzai’s technology is designed to provide real-time alerts about suspicious transactions, enabling the identification and blocking of fraudulent activities in a matter of nanoseconds.
The collaboration signifies Mastercard’s persistent move into the crypto landscape, showing its commitment to cleaning up the space from fraudulent activities and scams.
Feedzai’s solutions aim to protect individual and business taxpayers, account access, and payment transactions in various regions, including the US, UK, and Canada. The company’s technology has been utilized to power a significant percentage of French-issued cards, demonstrating its impact on a global scale.
According to Feedzai’s CEO, Nuno Sebastio, teaming up with Mastercard is important for increasing fraud detection, protecting consumers, and addressing money laundering activities.
The integration will offer Mastercard access to Feedzai’s artificial intelligence capabilities, allowing for the rapid identification and blocking of suspicious transactions while recognizing legitimate ones.
Additionally, the partnership comes as a response to the growing challenges of fraud in crypto transactions, with an increased level of scam transactions directly exiting from bank accounts to crypto exchanges.
Traditional institutions especially banks are coming into the crypto industry with services such as custodial assets, tokenization and more. There is a need to secure the assets of users while they explore the terrain of digital assets.
