Page 159 - Cyber Defense eMagazine January 2023

Why Tackling Financial Crime Calls for A Privacy-First

Approach

By Dr. Alon Kaufman, CEO and Co-Founder of Duality Technologies

To gain the upper hand in the fight against financial crime, banks and other financial institutions need to
share data, but concerns around privacy, confidentiality and regulatory compliance often prevent them
from doing so. Alon Kaufman, chief executive officer and co-founder at Duality Technologies, looks at
how firms are adopting a privacy-first approach to overcome these barriers and enable greater
collaboration.

Cybercrime, fraud and money laundering continue to pose major threats to financial institutions and their
customers. As attacks become more sophisticated, detecting, investigating and preventing risks grows
more challenging and firms often find that existing approaches have notable limitations.

Success hinges on having access to the right data, but the problem is that data is dispersed across
multiple lines of business within an institution, geographic locations and third-party institutions. This
fragmentation can make it near impossible to access and analyze all the relevant data quickly in order to
gain insights.

A typical customer will have multiple accounts with different providers as well as relationships with
separate divisions within the same provider. As a result, the customer's financial life is broken up to the
point that no single institution has a complete view of the customer. In fact, a typical financial institution
only sees 15%-25% of its own customers’ activity, which means it cannot effectively protect itself nor its
customers from financial crime.

Cyber Defense eMagazine – January 2023 Edition 159
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