What is Facial Verification and Why Your Business Needs It
6 mins read
Facial verification is a cutting-edge biometric technology that uses unique facial features to verify an individual's identity. Unlike traditional authentication methods such as passwords or PINs, facial verification leverages advanced algorithms to analyze and match facial data, providing a highly secure and efficient way to confirm identities. Here’s a deep dive into what facial verification is and why your business should consider adopting it. What is Facial Verification? Facial verification is part of a broader field known as biometric authentication, which includes fingerprint and iris recognition. It works by capturing a live image of a person’s face and comparing it with a stored image, typically from an ID card, driver's license, or a previously taken photograph. The system analyzes key facial characteristics such as the distance between the eyes, the shape of the cheekbones, and the contours of the lips and nose. How Does it Work? The technology behind facial verification involves three key steps: Face Detection: The system locates the face within the image using deep learning algorithms and ensures the quality of the captured image. Feature Extraction: It extracts unique facial features, such as eye positioning, jawline shape, and nose structure, and converts them into a digital template. Matching: The system compares the extracted features with the stored facial template and calculates a match score to determine if the person is the same individual. Benefits of Facial Verification for Businesses In today’s increasingly digital world, businesses need reliable, secure, and user-friendly solutions to verify identities. Facial verification offers several advantages: 1. Enhanced Security Traditional security methods like passwords or tokens are vulnerable to breaches, phishing, and loss. Facial verification, however, is tied to an individual’s unique physical traits, making it much harder to replicate or steal. This heightened security can be particularly beneficial for businesses handling sensitive information or financial transactions. 2. Improved User Experience Facial verification simplifies the authentication process for users. Instead of remembering complex passwords or carrying physical access cards, users can simply use their face for seamless verification. This makes it ideal for onboarding new customers, enabling access to mobile apps, or securing sensitive online accounts. 3. Fraud Prevention Facial verification helps prevent identity theft and fraud, particularly in sectors such as banking, e-commerce, and healthcare. By ensuring that the person presenting the ID is the legitimate owner, businesses can minimize risks associated with fraudulent transactions or account takeovers. 4. Scalability and Efficiency As businesses grow, manual processes for verifying identities can become time-consuming and error-prone. Facial verification can automate identity checks, making it easier to onboard new clients, approve transactions, and manage access to services. This can free up resources and streamline operations. 5. Contactless Verification In the post-COVID era, many businesses are seeking contactless solutions to reduce physical interaction and enhance safety. Facial verification allows for touchless authentication, making it perfect for industries like travel, healthcare, and retail, where contactless interactions are now a priority. Key Industries Benefiting from Facial Verification Facial verification is already making waves across several industries: Banking and Finance: Secure customer authentication for online banking, loan approvals, and mobile payments. Retail: Reducing in-store fraud by verifying identities during high-value purchases or returns. Healthcare: Ensuring that only authorized personnel access medical records and secure areas. Travel: Streamlining check-ins and boarding processes at airports by verifying travelers’ identities. Government Services: Enhancing security for ID issuance, voting systems, and secure access to government facilities. Why Your Business Needs It With increasing concerns over data breaches and fraud, businesses need robust, future-proof security solutions. Facial verification provides a powerful tool to enhance both security and customer experience. Whether you’re looking to secure your systems, streamline customer onboarding, or adopt a contactless solution, facial verification can offer a sophisticated, reliable answer. CoinFace is an advanced solution from CoinsDo which allows you to: Authenticate users in real time using facial verification. Ensure regulatory compliance with secure and reliable biometric checks. Prevent fraud with advanced liveness detection that guards against identity spoofing. Streamline your KYC process for a faster and more seamless user experience. Get started with CoinFace today and safeguard your business with cutting-edge facial verification technology.
Understanding Liveness Detection in Identity Verification
10 mins read
As the global economy increasingly shifts toward digital platforms, secure identity verification has become a cornerstone of online interactions. Fraudulent activities such as identity theft, account takeovers, and phishing attacks are rising, driving the demand for robust verification technologies. One of the most innovative and effective solutions is liveness detection, a technology that ensures that the person undergoing identity verification is a real, live individual and not a static image, video, or 3D mask. This article dives deeper into how liveness detection works, why it's critical for digital security, and the industries that benefit most from this technology. What is Liveness Detection? Liveness detection is a technology that ensures biometric identifiers (such as facial recognition or fingerprints) are captured from a live human rather than a photo, video, or artificial replication. This method has emerged as an advanced defense against spoofing attacks, where fraudsters use images, videos, or even 3D masks to impersonate legitimate users. How Does Liveness Detection Work? Liveness detection operates on two primary methodologies: active and passive. 1. Active Liveness Detection This method prompts users to perform a specific action, such as blinking, nodding, smiling, or turning their head. By requesting real-time, unique movements, active liveness detection can distinguish between a real human and a pre-recorded video or image. This method, while effective, can sometimes add friction to the user experience. 2. Passive Liveness Detection In contrast, passive liveness detection operates in the background, requiring no direct action from the user. It analyzes subtle signals like skin texture, depth, and the natural reflection of light on a face or fingerprint. By using advanced machine learning models and computer vision, it can quickly and seamlessly verify whether a user is alive without disrupting the user journey. AI and Machine Learning: The Backbone of Liveness Detection The growing sophistication of artificial intelligence (AI) and machine learning (ML) has been instrumental in advancing liveness detection. Modern systems leverage deep learning algorithms trained on vast datasets to identify the minute differences between a real human face and a spoof. For instance, machine learning algorithms can detect tell-tale signs such as the natural movement of facial muscles, changes in eye reflection, or the unique pixelation patterns that separate real faces from photos or masks. Moreover, as fraud tactics evolve, AI-powered systems continuously learn and adapt, allowing them to improve accuracy over time. Visa was able to proactively prevent up to $40 billion in payment fraud in FY23 alone through the adoption of AI-driven fraud detection, including liveness detection technology. The Importance of Liveness Detection in Identity Verification 1. Rising Incidences of Identity Fraud Identity theft is a persistent and growing problem. The Federal Trade Commission’s (FTC) Consumer Sentinel Network took in over 5.39 million reports in 2023, of which 48 percent were for fraud and 19 percent for identity theft, amounting to losses exceeding $43 billion. As the world becomes more digitally interconnected, the need for secure and foolproof verification methods is more critical than ever. Liveness detection acts as a critical layer of defense in preventing identity theft by ensuring that only live individuals can access sensitive information, complete transactions, or perform high-value actions online. A report from Insight Partners notes that the demand for more secure identity verification solutions, including biometric verification with liveness detection, is expected to grow at a CAGR of 16.9% through 2030. 2. Combating Fraud in Financial Services Fraud in the financial sector is a key driver of demand for liveness detection. In 2021, around 22 percent of U.S. adults had account takeover (ATO), where criminals exploit stolen credentials to gain unauthorized access to accounts. Today, that figure has risen to 29 percent of American adults. This is especially concerning in industries such as banking, with fraud losses across bank payments totalling nearly $1.6 billion in 2022. Liveness detection is being used to secure processes such as Know Your Customer (KYC) during account openings and high-risk financial transactions. By combining liveness detection with biometric verification, financial institutions can dramatically reduce fraud rates and increase customer trust. 3. Enhancing Trust in eCommerce and Retail The rise of online shopping has been accompanied by a spike in card-not-present (CNP) fraud, with global CNP fraud losses projected to exceed $9.49b in 2023. Liveness detection plays a crucial role in curbing this trend by verifying users' identities during high-value purchases or at key points in the customer journey, providing an additional layer of security against fraudulent transactions. 4. Healthcare: Protecting Patient Data In healthcare, where access to sensitive patient records is tightly controlled, identity verification has become more critical than ever. With healthcare data breach costs increasing 53.3% since 2020, with an average cost of $10.93 million in 2023, hospitals and medical institutions are integrating liveness detection into their systems to ensure that only verified personnel and patients can access medical records or telehealth services. Benefits of Liveness Detection for Businesses 1. Fraud Prevention: By ensuring that only live individuals can access accounts or systems, liveness detection blocks fraudulent attempts and significantly reduces the risk of identity theft. 2. Regulatory Compliance: With strict data privacy laws such as GDPR in Europe and CCPA in California, businesses must implement secure user verification processes to avoid legal repercussions. Liveness detection helps organizations comply with KYC and anti-money laundering (AML) regulations. 3. Improved Customer Experience: Passive liveness detection, in particular, offers a seamless experience that doesn’t interrupt your customers. A study by Forrester Research found that improving CX by 1 point can lead to more than $1 billion in additional revenue for businesses. That’s because improving CX increases the chance that customers will subscribe for additional services or refer their friends. 4. Cost Savings: By preventing fraud, businesses can save billions in potential losses. Jumio’s Fraud Prevention Report estimates that companies using liveness detection see a 35% reduction in fraud-related costs. Future of Liveness Detection: What’s Next? The future of liveness detection lies in multi-modal verification, where liveness checks are combined with other biometric technologies like fingerprint or iris scanning to provide even greater security. As AI and machine learning continue to evolve, we can expect more sophisticated and faster methods of liveness detection, reducing false positives and further improving fraud prevention efforts. Additionally, blockchain technology is poised to play a role in identity verification by creating immutable records of user identity that, when paired with liveness detection, can make spoofing virtually impossible. With the global identity verification market expected to reach $21.8 billion by 2028, liveness detection will be at the forefront of this rapidly growing sector. CoinFace: The Liveness Detection Solution You Need Liveness detection is an essential tool in today’s digital world, protecting both businesses and consumers from increasingly sophisticated fraud tactics. By preventing identity spoofing and ensuring that only live users can complete verification processes, this technology is safeguarding sensitive transactions across industries, from finance to healthcare. With identity fraud on the rise, businesses must adopt liveness detection technologies to meet customer expectations for secure, frictionless experiences. By doing so, companies not only reduce the risk of fraud but also enhance customer trust, leading to greater retention and satisfaction. Looking for a robust facial verification solution? CoinFace, an advanced liveness detection solution from Coinsdo, offers state-of-the-art technology to help your business meet KYC compliance, prevent fraud, and enhance customer onboarding. With CoinFace, you can: Authenticate users in real time using facial verification. Ensure regulatory compliance with secure and reliable biometric checks. Prevent fraud with advanced liveness detection that guards against identity spoofing. Streamline your KYC process for a faster and more seamless user experience. Get started with CoinFace today and safeguard your business with cutting-edge facial verification technology.
What is Toncoin (TON)?
6 mins read
Toncoin has emerged as a unique player, with its roots in the messaging app giant, Telegram. Initially developed to serve as the backbone for a decentralized network, Toncoin has grown into a comprehensive blockchain ecosystem. Leveraging the Telegram Open Network (TON), Toncoin is designed to provide fast and scalable transactions while integrating directly with a range of applications and decentralized services. Understanding Toncoin is crucial for anyone interested in the intersection of social networking and decentralized finance (DeFi). History and Origin of Toncoin Toncoin’s origins are deeply tied to Telegram, the popular messaging platform. In 2018, Telegram’s founders, Pavel and Nikolai Durov, began developing the Telegram Open Network (TON), a blockchain designed to handle millions of transactions per second while offering a decentralized solution to complement Telegram's growing user base. The original vision for TON was ambitious: to create a blockchain network capable of supporting a wide range of decentralized applications (dApps), smart contracts, and micropayment services, all integrated with Telegram’s global messaging infrastructure. TON aimed to offer fast transaction speeds and low costs, addressing many of the scalability issues faced by earlier blockchains like Bitcoin and Ethereum. However, after raising over $1.7 billion through an Initial Coin Offering (ICO) in 2018, TON faced legal challenges from the U.S. Securities and Exchange Commission (SEC). As a result, Telegram was forced to abandon the project in 2020. Nevertheless, the open-source community took over the development of the TON blockchain, renaming its native currency Toncoin, and continued to build on its initial vision. In 2022, Telegram Wallet was introduced, which allows users to send and receive Toncoin directly within the Telegram app. This marked a pivotal moment in Toncoin's evolution, highlighting its seamless integration with one of the largest messaging platforms in the world. Main Features of Toncoin Fast and Scalable Blockchain Toncoin’s core strength lies in the Telegram Open Network (TON) blockchain, which is designed for high throughput and low latency. The network uses sharding to break down data into smaller pieces, allowing it to process millions of transactions per second. This scalability makes Toncoin well-suited for applications that require real-time processing, such as micropayments, gaming, and social network integrations. Decentralized Ecosystem TON is not just a blockchain but a full-fledged ecosystem supporting a wide range of services. From decentralized finance (DeFi) applications to NFT marketplaces and decentralized storage solutions, Toncoin is powering a growing number of decentralized services. Its open-source nature allows developers to build on top of the network, further expanding its utility. Telegram Integration One of Toncoin’s standout features is its deep integration with Telegram. The Telegram Wallet allows users to send, receive, and manage their Toncoin holdings directly within the messaging app, making it incredibly easy to transact. This accessibility is one of Toncoin’s key differentiators, as it allows users to engage with cryptocurrency without needing specialized knowledge or separate apps. Proof-of-Stake Consensus Toncoin uses a Proof-of-Stake (PoS) consensus mechanism, where validators are selected based on the amount of Toncoin they hold and stake. This system is more energy-efficient than the Proof-of-Work (PoW) model used by Bitcoin, as it does not require massive computational power. Validators are responsible for confirming transactions and securing the network, and in return, they earn rewards in the form of Toncoin. Toncoin Ecosystem and Notable Projects The Toncoin ecosystem is growing rapidly, with a variety of projects being built on the TON blockchain. These range from DeFi applications to NFT platforms and more. TON Swap TON Swap is a decentralized exchange (DEX) built on the TON blockchain. It allows users to trade cryptocurrencies directly from their wallets without relying on centralized exchanges. The platform leverages the speed and low fees of the TON blockchain, making trading more efficient and cost-effective. TON Storage TON Storage is a decentralized data storage solution that allows users to store data securely on the TON blockchain. This service offers a decentralized alternative to traditional cloud storage providers, ensuring that users have full control over their data while benefiting from the blockchain's security. TON DNS TON DNS (Domain Name System) allows users to register domain names on the blockchain. This service brings a decentralized and censorship-resistant DNS to the TON ecosystem, allowing users to create and manage decentralized websites. Toncoin (TON) Supported on CoinsDo CoinsDo is excited to announce that it now supports transactions on TON and the related TON token. This new integration means that CoinGet and CoinSend can now efficiently manage these assets, providing users with a seamless and secure digital asset management experience. If you're in the market for a reliable, secure, and cost-effective digital asset management system, reach out to us to learn how CoinsDo can empower your business.
Why Digital Asset Security Will Dominate Discussions at Money20/20
7 mins read
As the fintech world gathers at Money20/20 Las Vegas 2024, we believe that, in addition to the focus on AI and fintech, we might see an increased focus on a lesser-known topic: digital asset security. With institutional interest in cryptocurrencies and digital assets growing rapidly, safeguarding these assets has never been more critical. From secure storage solutions to regulatory compliance, the need for robust digital asset security is shaping the future of the finance industry—and will be a major topic of conversation at this year's event. For institutions managing millions—if not billions—in digital assets, the stakes are high. Coinsdo, a leader in institutional-grade digital asset custody, will be at Money20/20 to share insights and innovations that are setting new standards in secure asset management. Here’s why we believe digital asset security will take center stage and how Coinsdo’s solutions are playing a pivotal role. The Increasing Importance of Digital Asset Security in 2024 2024 is poised to be a breakthrough year for the institutional adoption of digital assets. According to a recent study, 97% of institutional investors believe that digital assets will be a significant part of their portfolios in the next decade. Cryptocurrencies, decentralized finance (DeFi) tokens, and even non-fungible tokens (NFTs) are rapidly being integrated into the portfolios of hedge funds, family offices, and asset managers. However, as the value of these assets skyrockets, so does their vulnerability. In 2023 alone, $1.7 billion worth of cryptocurrency was stolen by hackers, which stunningly enough is a decrease from the previous year. Institutions must safeguard their holdings from both external threats and internal risks, while navigating a complex landscape of regulatory requirements such as AML (Anti-Money Laundering) and KYC (Know Your Customer) protocols. At Money20/20, digital asset security will be a key theme as fintech leaders and financial institutions explore how to mitigate these risks. With a focus on innovation and compliance, the event will highlight how secure custody solutions are helping institutions protect their assets and navigate the evolving regulatory environment. How Custody Solutions Address Security Risks For institutional investors, digital asset custody solutions are essential to mitigating the risks associated with holding and managing digital currencies. Custody providers offer a suite of services designed to secure digital assets and protect them from theft, fraud, and loss. But what makes these solutions so vital? Secure Storage Solutions: Custody providers like Coinsdo empower institutions to move their digital assets seamlessly between cold and hot wallets, ensuring both maximum security and operational flexibility. With multi-party computation (MPC) technology, transactions require approval from multiple parties, significantly enhancing security while allowing institutions to manage their assets efficiently. This approach ensures that even high-value assets remain protected without sacrificing ease of access and movement. Regulatory Compliance: Navigating the regulatory landscape for digital assets is no small feat, especially with different countries imposing their own rules. Coinsdo’s custody solutions ensure institutions stay compliant with stringent regulations like FATF, SEC, and other global standards. Regulatory uncertainty remains the biggest barrier to digital asset adoption, with 83% of institutional investors citing it as their primary concern. Risk Management: Coinsdo also offers advanced risk management tools, further protecting institutional investors from unforeseen incidents. Given that the average cost of a data breach in the financial sector is $5.85 million, securing these assets is paramount. At Money20/20, expect to see deep discussions on how custody solutions like Coinsdo’s are becoming indispensable to institutions looking to safely scale their investments in digital assets. Why Money20/20 is the Platform for Security Innovation As one of the largest gatherings of fintech professionals, Money20/20 is the ideal venue for tackling the most pressing issues in digital finance—digital asset security chief among them. From financial institutions and regulators to technology innovators, attendees will be laser-focused on discussing how to secure the future of digital finance. Sessions on cybersecurity, DeFi, and institutional finance could potentially central themes. Security-focused innovations, such as blockchain-based protection measures, smart contract audits, and AI-driven fraud detection, will also take center stage. For Coinsdo, this provides a perfect opportunity to engage with the broader fintech community and showcase how its custody solutions are not only addressing today’s security challenges but also anticipating future ones. Coinsdo’s Participation at Money20/20 Showcase of cutting-edge digital asset custody technology: Coinsdo will highlight its comprehensive solutions for secure digital asset management. Collaboration with industry leaders: Money20/20 offers an unparalleled opportunity for Coinsdo to collaborate with other leaders in the digital asset space to set new security standards and innovative approaches for protecting institutional investments. Final Thoughts As institutional adoption of digital assets accelerates, digital asset security will undoubtedly be a major focus at Money20/20 Las Vegas 2024. From secure custody solutions to evolving regulations, the need to protect institutional investments is reshaping the fintech landscape. Coinsdo, with its institutional-grade custody solutions, is well-positioned to lead the conversation on how institutions can navigate this complex, high-stakes environment. Want to learn more about how Coinsdo can protect your institution's digital assets? Schedule a meeting with our experts at Money20/20 Las Vegas or visit our booth to see how our cutting-edge custody solutions are shaping the future of institutional finance.
Reflections on Token2049 Singapore 2024 | CoinsDo Edition
7 mins read
Recently, CoinsDo had the privilege of manning a booth at Token2049 in Singapore, the largest blockchain and crypto event of the year. With thousands of attendees, countless booths, and over 500 side events, the conference highlighted the tremendous growth and innovation in the space. But with only two days to cover all the content, it became clear that two days just weren’t enough. From deep dives into tokenization and decentralized infrastructure to the overwhelming presence of C-suite executives and security experts, the event offered valuable insights into the direction of the industry. Here are our key takeaways. Emerging Trends: Tokenization, DePIN, and Real-World Assets A major takeaway from this year’s event was the growing industry focus on tokenization of Real-World Assets (RWAs) and Decentralized Physical Infrastructure Networks (DePIN). Tokenizing physical assets such as real estate, commodities, or even artwork was a central topic, primarily due to the promise of bringing liquidity to traditionally illiquid markets. Through blockchain technology, asset tokenization allows these real-world assets to be fractionally owned and traded, which could revolutionize the financial markets. This trend is gaining traction as major players in the space, such as Chainlink, estimate that tokenized RWAs will surpass the value of cryptocurrencies in the near future, and that the total addressable market (TAM) for tokenized RWAs could reach between $10-15 trillion by 2030, highlighting the immense potential for this sector to disrupt traditional finance. DePIN was another hot topic at the event, underscoring the decentralization of physical infrastructure—such as data centers, telecom towers, and energy grids—through blockchain technology. By integrating physical assets with decentralized networks, DePIN opens new opportunities for ownership and management, allowing individuals and businesses to participate in the governance and operation of critical infrastructure. This shift from purely speculative digital assets to real-world applications represents the evolution of blockchain from niche technology to a core component of the future economy. It also drives institutional interest, as traditional finance sees the benefits of combining blockchain’s transparency and decentralization with established industries . The Dominance of CEXs, Payment Providers, and Security Concerns Another clear trend at Token2049 was the strong presence of centralized exchanges (CEXs) like Matrixport, Bybit, and CoinW, alongside numerous payment companies. These platforms remain crucial for providing liquidity and offering entry points into the cryptocurrency world, making them indispensable for the digital economy. What stood out was their strategic approach to the event. Rather than spending heavily on formal exhibition booths, many companies chose to deploy large teams to walk the floor and network directly with potential clients and partners. This informal yet aggressive guerrilla marketing tactic underscores just how competitive the market for exchange services and payment solutions has become. In addition to exchanges and payment providers, the rising presence of security audit firms emphasized the growing concerns around blockchain security. With high-profile hacks and protocol vulnerabilities still plaguing the crypto ecosystem, security has become a top priority. According to a report from TRM Labs, the first half of 2024 alone saw over $1.38 billion worth of crypto being stolen, underlining the urgent need for robust security measures as the space continues to mature. As more traditional businesses adopt blockchain, ensuring regulatory compliance and safeguarding assets will be key to long-term growth and trust in the industry. C-Level Executives and New Blockchain Projects One of the most striking observations from the event was the high number of C-level executives in attendance. Decision-makers from traditional finance, fintech, and other industries were actively exploring how blockchain-based solutions could enhance their businesses. This signals that blockchain is no longer a fringe technology. Instead, it’s becoming a critical part of strategic discussions at the highest levels of corporate governance. Many executives were particularly interested in tokenization and regulatory compliance, seeking practical ways to integrate blockchain with existing financial systems to improve efficiency and unlock new revenue streams. Interestingly, there was a notable lack of new blockchain platforms exhibiting at the event. While some fresh projects were present, most attended as visitors rather than exhibitors. This suggests that many of these projects are still in the early stages of development, prioritizing research and partnership-building over showcasing finished products. Since the launch of The Open Network (TON), the industry has yet to see a breakthrough blockchain that significantly disrupts the ecosystem. Instead, most projects seem focused on building on existing infrastructure, refining the foundations laid by established blockchains such as Ethereum, Solana, and others Final Thoughts: A Glimpse into the Future of Blockchain Token2049 Singapore showcased just how far the blockchain and crypto industries have come, but it also highlighted areas where significant work still needs to be done. The themes of tokenization, decentralized infrastructure, and security suggest that the future of blockchain lies in solving real-world problems, not just speculative trading. For those looking to make an impact in the space, participating in or even organizing a side event at next year’s Token2049 could be a strategic move. The event's scale, combined with the focused interests of C-level executives and security-conscious startups, provides fertile ground for collaborations that could shape the industry’s future. These events provided a more intimate setting for networking and deep discussions, often leading to meaningful partnerships. We might be organizing our own side event next year, so stay tuned!