A recent report by Sumsub reveals a sharp increase in fraud in the healthtech and fintech sectors across the Asia-Pacific region. This surge poses significant threats to digital security and consumer trust.
Healthtech Fraud Surges by 723%
According to Sumsub, healthtech fraud has surged by **723%**, highlighting serious risks in the digital security landscape. Fintech fraud also saw a **116%** increase. Penny Chai of Sumsub points to a worsening scenario, stating that rising markets in APAC have made fraud a serious concern.
New KYC Demands as Fraud Escalates
The surge in fraud requires immediate industry responses, particularly focusing on bolstering **KYC** and **AML** mechanisms. Penny Chai emphasizes that with rising threats, synthetic identities and AI technologies complicate compliance. With the market potential reaching **$1.15 trillion**, new regulatory frameworks and technological innovations are essential.
AI Threatens APAC’s Digital Security Framework
While APAC has faced significant digital fraud challenges before, this rise emphasizes the **emergence of AI** as a transformative threat. Experts highlight the necessity for robust security infrastructures. As the **complexity of attacks** increases, driven by AI, businesses must adopt comprehensive strategies to safeguard against persistent risks.
The steady rise of fraud in healthtech and fintech requires companies to take active measures to strengthen security. Adapting to new challenges is essential for maintaining consumer trust and market stability.
