No Result
View All Result
SUBMIT YOUR ARTICLES
  • Login
Saturday, October 4, 2025
TheAdviserMagazine.com
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
No Result
View All Result
TheAdviserMagazine.com
No Result
View All Result
Home Market Research Business

Asia is ahead of the curve of using AI to fight fraud. Here’s what the rest of the world can learn from it

by TheAdviserMagazine
1 month ago
in Business
Reading Time: 4 mins read
A A
Asia is ahead of the curve of using AI to fight fraud. Here’s what the rest of the world can learn from it
Share on FacebookShare on TwitterShare on LInkedIn



The financial sector is going through a rapid digital transformation, but cybercriminals are adapting just as quickly. Banks are forced to spend heavily to keep ahead of surging financial fraud. Across the Asia-Pacific region, 98% of financial institutions have had to scale up their compliance operations, driving costs above $45 billion. This surge reflects a shift toward integrated anti-fraud strategies, with governments and industries rolling out  targeted national responses to counter increasingly sophisticated threats.

Hong Kong authorities have launched Scameter, a mobile fraud alert system that that notifies users of high-risk transactions. Singapore has introduced the Shared Responsibility Framework, which allocates scam loss responsibilities to financial institutions and telecommunication operators, encouraging the implementation of anti-scam measures. Similarly, Australia’s Scam-Safe Accord is a cross-industry initiative across banks, building societies, credit unions aimed at elevating the standard of customer protection to counter scams.

These moves all represent a strong response to a growing regional threat, exemplified by Southeast Asia’s “scam compounds”: physical hubs where criminal syndicates orchestrate large-scale online scams, including identity fraud, phishing, fake investments and money laundering. Disguised as legitimate businesses, these sophisticated operations generate billions of dollars annually.

What’s driving this evolution in financial crime? Increasingly, it’s artificial intelligence. Criminal networks use AI to create synthetic identities, launch massive phishing campaigns, and bypass traditional security systems—and do so with fewer resources and in record time. While scam compounds are concentrated in Asia, the threat of financial fraud is global.

Yet as Asia’s crime syndicates make headlines, the region’s banks are quietly leading a shift in how to prevent fraud. Unlike other banks, which use AI for customers personalization and call center support, Asian banks are instead tapping AI to fight back against cybercriminals through fraud detection, identity verification, and anti-money laundering.

Why APAC is outpacing in AI-driven fraud defense

Asia’s greater focus on AI-powered fraud prevention is due to the region’s exposure to financial crime. Asian institutions are in the trenches when it comes to cybercrime, pushing them to rapidly adopt AI-driven strategies.

The scale of financial loss is staggering. In 2024 alone, the Asia-Pacific region lost an estimated $688 billion to fraud, nearly two-thirds of the world’s total. Asians’ rapid adoption of digital wallets and payment platforms makes matters worse: By outpacing the rollout of strong consumer protections, this usage opens doors for cybercriminals and is putting banks on the front lines.

Asian banks are leading the way in adopting ISO 20022, a new messaging standard that allows financial institutions to use AI to precisely detect anomalies and cut exposure to financial crime.

Same tech, different playbooks

Regional priorities are shifting as banks adopt AI. Asia-Pacific banks are focusing on fraud prevention and security, while European and U.S. institutions instead use AI to personalize products and customer service.

According to our research, just over half of organizations in the UK want to use generative AI to enhance the customer experience. That reflects the UK’s hyper-competitive market, where user-friendly interactions are key to winning customer loyalty. The U.S. is splitting its AI focus between customers experience and operational automation, supporting both consumer demands for frictionless banking and internal goals for efficiency.

In contrast, 58% of Asia-Pacific banks are focusing their AI investments on fraud detection and anti-money laundering, well above the global average. Asia-Pacific banks face a high-risk landscape where criminal networks use generative AI for identity fraud, phishing and financial scams. As a result, the region prioritizes cybersecurity, forging a sharper, security-focused AI strategy that views fraud prevention as a key competitive advantage.

Importantly, AI is blurring the distinction between security and service. Growing cyber threats means customers expect their banks to not just protect their money, but also provide clear, accurate answers in times of uncertainty. Our work with clients reveals that AI-powered chatbots and authentication systems can speed up queries from banking staff by sourcing information for them 30-40% faster than before. This has in turn had a knock-on effect for customer satisfaction, with customers now rating their experiences with chatbots 25% higher than their previous conversations with human agents.

What the next era of banking demands

Fraud detection can’t be isolated in today’s threat landscape. It must be embedded within financial infrastructure. Whether that’s through cross-industry accords like Australia’s Scam-Safe Accord, or through the blend of service and security seen in AI-powered chatbots that both authenticate users and resolve queries in real time, APAC is demonstrating how integrated systems can turn raw data into actionable defenses, driven by AI and aligned with operational needs.

Asia-Pacific’s experience highlights that financial security hinges on being proactive, not reactive. Faced with massive fraud losses and complex scam networks, Asian institutions have swiftly prioritized AI-driven fraud prevention. U.S. and European peers, on the other hand, treat fraud prevention as one possible AI application among many. That will be a mistake as AI-driven financial crime starts to spread globally.

AI’s role in fraud will grow. Asia-Pacific’s strategy shows the value of acting quickly to counteract it, integrating fraud prevention into financial infrastructure. As global threats escalate, the world should look to Asia, not just as a regional leader, but as a role model for secure, seamless financial transactions.

The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of Fortune.



Source link

Tags: AheadAsiaCurveFightFraudHeresLearnrestworld
ShareTweetShare
Previous Post

US trading partners ‘dazed and confused’ after tariff court loss

Next Post

rupee depreciation: What’s next for the rupee after breaching 88 against the dollar?

Related Posts

edit post
CreditAccess, Fusion Finance: Motilal Oswal bet on recovery-led growth in microfinance

CreditAccess, Fusion Finance: Motilal Oswal bet on recovery-led growth in microfinance

by TheAdviserMagazine
October 4, 2025
0

The microfinance industry, after enduring a turbulent phase, is now on a gradual path to recovery, supported by operational reforms...

edit post
Former Tesla exec claims EV industry will grow, not shrink, after death of ,500 tax credit: ‘The market’s established’

Former Tesla exec claims EV industry will grow, not shrink, after death of $7,500 tax credit: ‘The market’s established’

by TheAdviserMagazine
October 4, 2025
0

The U.S. electric vehicle market is established and ready to grow without federal subsidies, according to Jon McNeill, a former...

edit post
Why Quant MF faltered and how to invest in 2025: Chirag Muni explains

Why Quant MF faltered and how to invest in 2025: Chirag Muni explains

by TheAdviserMagazine
October 4, 2025
0

Indian markets have had a rough ride in 2025, with Nifty barely up 4% while gold and silver soared. Amid...

edit post
US stocks: Dow, S&P 500 manage record closing highs; Nasdaq falls in volatile session

US stocks: Dow, S&P 500 manage record closing highs; Nasdaq falls in volatile session

by TheAdviserMagazine
October 3, 2025
0

NEW YORK: The S&P 500 eked out a record closing high in a volatile session Friday, with interest rate-cut expectations...

edit post
Trump orders Israel to stop bombing Gaza after Hamas partially accepts his peace plan

Trump orders Israel to stop bombing Gaza after Hamas partially accepts his peace plan

by TheAdviserMagazine
October 3, 2025
0

U.S. President Donald Trump on Friday ordered Israel to stop bombing the Gaza Strip after Hamas said it had accepted some elements...

edit post
Sean ‘Diddy’ Combs gets 4 years in prison and is fined half a million dollars for case involving sex workers, violence and ‘freak-offs’

Sean ‘Diddy’ Combs gets 4 years in prison and is fined half a million dollars for case involving sex workers, violence and ‘freak-offs’

by TheAdviserMagazine
October 3, 2025
0

Sean “Diddy” Combs was sentenced Friday to four years and two months in prison for transporting people across state lines for...

Next Post
edit post
rupee depreciation: What’s next for the rupee after breaching 88 against the dollar?

rupee depreciation: What's next for the rupee after breaching 88 against the dollar?

edit post
Rachit Prints IPO opens for subscription today. Check GMP, price band and other details

Rachit Prints IPO opens for subscription today. Check GMP, price band and other details

  • Trending
  • Comments
  • Latest
edit post
What Happens If a Spouse Dies Without a Will in North Carolina?

What Happens If a Spouse Dies Without a Will in North Carolina?

September 14, 2025
edit post
California May Reimplement Mask Mandates

California May Reimplement Mask Mandates

September 5, 2025
edit post
Does a Will Need to Be Notarized in North Carolina?

Does a Will Need to Be Notarized in North Carolina?

September 8, 2025
edit post
DACA recipients no longer eligible for Marketplace health insurance and subsidies

DACA recipients no longer eligible for Marketplace health insurance and subsidies

September 11, 2025
edit post
‘Quiet luxury’ is coming for the housing market, The Corcoran Group CEO says. It’s not just the Hamptons, Aspen, and Miami anymore

‘Quiet luxury’ is coming for the housing market, The Corcoran Group CEO says. It’s not just the Hamptons, Aspen, and Miami anymore

September 9, 2025
edit post
Tips to Apply for Mental Health SSDI Without Therapy

Tips to Apply for Mental Health SSDI Without Therapy

September 19, 2025
edit post
Vanguard to lose competitive edge on dual share class structure

Vanguard to lose competitive edge on dual share class structure

0
edit post
Tesla Grabs One for the Road With Windfall from Expiring EV Tax Credit

Tesla Grabs One for the Road With Windfall from Expiring EV Tax Credit

0
edit post
Bank-Owned Properties Are Up 41% From Last Year—What Does It Mean For Investors?

Bank-Owned Properties Are Up 41% From Last Year—What Does It Mean For Investors?

0
edit post
The shutdown meant no jobs report. Here’s what it would have said about the economy

The shutdown meant no jobs report. Here’s what it would have said about the economy

0
edit post
FLOKI Makes History With First ETP in Europe as Price Surges 30%

FLOKI Makes History With First ETP in Europe as Price Surges 30%

0
edit post
Senior Fraud Tactics That Sound Convincing — How to See Through Them

Senior Fraud Tactics That Sound Convincing — How to See Through Them

0
edit post
FLOKI Makes History With First ETP in Europe as Price Surges 30%

FLOKI Makes History With First ETP in Europe as Price Surges 30%

October 4, 2025
edit post
CreditAccess, Fusion Finance: Motilal Oswal bet on recovery-led growth in microfinance

CreditAccess, Fusion Finance: Motilal Oswal bet on recovery-led growth in microfinance

October 4, 2025
edit post
Former Tesla exec claims EV industry will grow, not shrink, after death of ,500 tax credit: ‘The market’s established’

Former Tesla exec claims EV industry will grow, not shrink, after death of $7,500 tax credit: ‘The market’s established’

October 4, 2025
edit post
Why Quant MF faltered and how to invest in 2025: Chirag Muni explains

Why Quant MF faltered and how to invest in 2025: Chirag Muni explains

October 4, 2025
edit post
US stocks: Dow, S&P 500 manage record closing highs; Nasdaq falls in volatile session

US stocks: Dow, S&P 500 manage record closing highs; Nasdaq falls in volatile session

October 3, 2025
edit post
U.S., Europe brands take on the Chinese consumer

U.S., Europe brands take on the Chinese consumer

October 3, 2025
The Adviser Magazine

The first and only national digital and print magazine that connects individuals, families, and businesses to Fee-Only financial advisers, accountants, attorneys and college guidance counselors.

CATEGORIES

  • 401k Plans
  • Business
  • College
  • Cryptocurrency
  • Economy
  • Estate Plans
  • Financial Planning
  • Investing
  • IRS & Taxes
  • Legal
  • Market Analysis
  • Markets
  • Medicare
  • Money
  • Personal Finance
  • Social Security
  • Startups
  • Stock Market
  • Trading

LATEST UPDATES

  • FLOKI Makes History With First ETP in Europe as Price Surges 30%
  • CreditAccess, Fusion Finance: Motilal Oswal bet on recovery-led growth in microfinance
  • Former Tesla exec claims EV industry will grow, not shrink, after death of $7,500 tax credit: ‘The market’s established’
  • Our Great Privacy Policy
  • Terms of Use, Legal Notices & Disclosures
  • Contact us
  • About Us

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.