Since its break into the scene a few years ago, AI technology has been on the rise, getting much better each year. Today, with one prompt, individuals can produce 20-page research or generate images and videos with specific details embedded. Although this does a lot of good for efficiency and productivity generally, it poses a great concern - the threat of deep fakes especially when it comes to fooling Optical Character Recognition (OCR) solutions.
 

A recent publication by Connectingthedotsinfintech revealed OnlyFake’s declaration of the end of traditional document forgery on its Telegram account. The underground site offered fake IDs across 26+ countries for only $15. Its founder, “John Wick” claimed that these IDs are purely generated using AI technology which offers realistic images with totally customisable backgrounds and credentials. 
 

This claim was eventually confirmed by 404 Media’s successful attempt to pass OKX’s verification using one of these AI-generated IDs. He added that the IDs can bypass checks at Binance, Kraken, Bybit, Huobi, Coinbase, OKX and even more traditional, mainstream platforms like Revolut.
 

With the advancement of AI technology today, it is clear that OCR standalone verification no longer offers the necessary protection for businesses. This begs the question - what is the best technology to combat AI identity fraud? 
 

The Rising Concerns of AI Capabilities and Deep Fakes & Limitations of OCR Technology

 

Recent developments have showcased and confirmed the alarming capabilities of AI in generating realistic deep fakes. These maliciously crafted digital impersonations can be used to bypass identity verification processes, with potential applications ranging from financial fraud to accessing restricted platforms.
 

This evolving trend poses a severe risk to businesses operating in the digital space, as traditional identification methods struggle to keep pace with the sophistication of AI-generated fake identities. According to a TechCrunch report, the U.S. Federal Trade Commission (FTC) is actively seeking rule modifications to counter the growing threat of deep fakes, highlighting the urgency of the issue.
 

“Fraudsters are using AI tools to impersonate individuals with eerie precision and at a much wider scale,” FTC chair Lina Khan said in a press release. “With voice cloning and other AI-driven scams on the rise, protecting Americans from impersonator fraud is more critical than ever. Our proposed expansions to the final impersonation rule would do just that, strengthening the FTC’s toolkit to address AI-enabled scams impersonating individuals.”
 

Additionally, OCR platforms, commonly used for identity verification, are susceptible to being tricked by these sophisticated impersonations. The implications are profound, ranging from financial fraud to unauthorized access to sensitive platforms for fraud activities.

 

Electronic Identity Verification (eIDV) Solution to the Rescue?

 

Traditional Know Your Customer (KYC) processes, often relying on OCR technology, struggle to discern between genuine identities and AI-generated deep fakes. As businesses face the challenge of adapting to an evolving threat landscape, there is an urgent need for a more advanced and adaptive solution.
 

We recommend that businesses adopt an Electronic Identity Verification (eIDV) solution for enhanced security. With the advancement of AI technology today, it is clear that OCR standalone verification no longer offers the necessary protection for businesses. However, with eIDV, businesses can add an extra layer of verification checks directly from government-backed databases. This way, IDs are verified for accuracy and their data (e.g. name, serial number, etc) is further verified from the local government database in that region. 
 

Bottom Line: Combating AI Fraud with eIDV

 

Ultimately, businesses need to turn to eIDV solutions for optimal protection. Instead of relying solely on static information, eIDV dynamically validates government-issued documents from the region's local databases. This approach detects anomalies and inconsistencies in IDs, serving as a robust defence against AI-generated deep fakes.
 

Youverify's eIDV solution ensures real-time cross-referencing with government databases across 50+ countries. This capability enhances identity verification processes, protecting against AI deep fake fraud by confirming that the presented identity aligns with official records.
 

Join 1000+ global businesses using Youverify eIDV solution for enhanced risk mitigation against deep fakes and AI generated IDs. Book a free demo to see how it works