Poland-based Nethone has launched a behavioural detection solution of VPNs and proxies to help prevent account takeover, payment fraud, and other fraud trends. As a Know Your Users AI-powered fraud prevention company, Nethone’s proprietary solution detects VPN and proxy connections, including residential proxies, even those leveraged by skilled fraudsters to commit an extensive array of online abuses in the ecommerce and financial space.

Nethone’s behavioural detection solution of VPNs and proxies Based on the information detailed in the press release, behavioural detection by Nethone serves as a strong tool against threats, helping identify in an effective manner the suspicious VPNs and proxies used predominantly for fraudulent activities of the likes of account takeover (ATO), account opening fraud, and payment fraud. Precise detection of proxies and VPNs provides merchants and financial institutions with key benefits, such as: Protect against large-scale payment fraud attacks; Prevent browser automation, including web scraping, account creation fraud, and price or inventory manipulation (such as ‘sneaker bots’ that bid on rare items); Detect and stop compliance breaches in industries requiring strict regulations, like gambling and crypto, by ensuring that customers are not hiding their true location. Nethone’s darknet research has identified that over 80% of fraudster tactics involve the usage of a VPN or proxy service to carry out successful online fraud attempts.

By having their IP addresses and true geographic locations hidden, fraudsters avoid detection and deceive unsuspecting victims. When talking about ATO cases in particular, fraudsters aim to hide any info that could give them away and mimic the victim’s behaviour once in control. Although a multitude of fraud prevention companies are able to detect proxy and VPN connections originating from well-known services, oftentimes, these detections rely on easily traceable data from third-party providers.  Looking to not be dependent on outdated lists that might not include up-to-date VPNs and proxies being leveraged by fraudsters, Nethone actively identifies suspicious behaviour and potentially malicious actions in real time.

When commenting on the announcement, Maciej Pitucha, Chief Data Officer at Nethone advised that skilled fraudsters avoid well-known VPN services, opting for those popular among their dark web community. Per their statement, the company can stay one step ahead of them and detect all VPNs, helping block fraudsters from causing damage while providing genuine users with a frictionless experience. The press release further highlights that Nethone has a dedicated Fraud Intelligence team that is on the constant lookout for new fraud tactics on the dark web to learn who and what cybercriminals target, and what new ideas they apply to succeed, gathering intelligence and reverse-engineering fraudsters’ techniques to improve fraud recognition.

What is more, VPN and proxy detection is part of an extensive suite of risks detected by Nethone Guard, the company’s flagship fraud prevention product. For more information about Nethone, please check out their detailed profile in our dedicated, industry-specific Company Database. .