ID and Document Verification

Top 10 Trends in Identity Verification in 2024

February 2, 2024
Top 10 Trends in Identity Verification in 2024

As we navigate through 2024, the world of identity verification is buzzing with new trends and technologies. Deepfakes? Synthetic IDs? They’re part of today’s challenges.

When the threats of identity theft and fraud lurk around every corner, staying informed about the latest trends isn’t just beneficial—it’s imperative.

As your trusted partner, Microblink is here to guide you through the top 10 trends in identity verification that are shaping 2024. From combating deepfakes to embracing holistic identity solutions, we’re on the front lines, ensuring that your journey in customer trust and safety is not just reactive, but proactive and informed.

1. Combatting deepfakes and advanced frauds

The business world is confronting a rising and sophisticated threat—deepfake technology. These hyper-realistic forgeries, crafted by artificial intelligence, present a daunting new challenge in the realm of fraud.

A recent survey by Regula has thrown these concerns into sharp view, indicating that a significant portion of businesses have already been targeted by voice and video deepfake fraud. Specifically, 37 percent have encountered synthesized voice fraud, and 29 percent have fallen prey to deepfake videos. With the potential for substantial financial losses and erosion of trust, businesses must adapt quickly to this evolving threat landscape.

Confronting this challenge head-on, businesses must invest in advanced anomaly detection technologies. These systems are designed to scrutinize interactions for signs of manipulation, distinguishing authentic human behavior from AI-generated anomalies. 

The sophistication of deepfakes means that traditional security measures are often insufficient; instead, cutting-edge AI and machine learning tools must be deployed to detect subtle irregularities that would elude human detection. 

As fraudsters leverage AI to create deepfakes, businesses must fight fire with fire, harnessing AI’s power to protect against these threats.

Importance of real-time liveness checks in digital interactions

Alongside anomaly detection, real-time liveness checks are vital. These checks ensure the individual present during a digital interaction is live, not a pre-recorded or digitally recreated facsimile. There is massive value in comprehensive ID verification and biometric checks, including liveness verification, to thwart reusable images or deepfake video use in fraudulent activities. 

A recent article indicates that industries like cryptocurrency and fintech are particularly vulnerable, with the cryptocurrency sector alone accounting for 88% of all deepfake cases detected. This news comes at the same time as another staggering statistic. 

There has been a tenfold increase in deepfake-related identity fraud in 2023 compared to the previous year, underscoring the urgency for businesses to adopt AI-powered verification solutions capable of thwarting these sophisticated threats. 

By implementing such measures, businesses can add a critical layer of security during user authentication, significantly reducing the risk of deepfake-related fraud.

2. Holistic identity verification solutions 

The marketplace is increasingly gravitating toward solutions that consolidate document and biometric verification processes. A growing recognition of the multifaceted benefits of such solutions drives the shift. 

For instance, integrating document checks with biometric analysis delivers a composite, more reliable confirmation of identity. This holistic approach aligns with the overarching pursuit of enhanced security and efficiency in the world of digital identity verification.

Organizations across various sectors seek streamlined verification methods to authenticate identities without introducing friction to the user experience. This demand directly responds to the escalation of digital interactions, which require more effective identity checks to counteract sophisticated fraud schemes, such as those involving deepfakes. 

Gartner’s insights further corroborate this trend, emphasizing the need for confidence in user identities during digital engagements across a wide range of geographies and industries.

The integration of document and biometric verification offers numerous advantages. Firstly, it provides a comprehensive identity check that is much harder to compromise than methods relying on singular data points. Plus, by incorporating biometric data—such as facial recognition or fingerprints—into the document verification process, companies can deliver a more secure defense against identity theft and fraud.

User experience improvements with one-stop verification solutions

A seamless user experience is at the heart of customer satisfaction. Utilizing a one-stop verification solution means businesses can eradicate the inconvenience of multiple verification steps, thereby reducing user frustration and abandonment rates. 

All of this translates to a smoother onboarding process for users, who can verify their identities quickly and without hassle, leading to higher conversion rates for businesses.

Furthermore, by adopting AI-enabled identity verification solutions, companies can provide real-time feedback and expedite the verification process, all while maintaining high accuracy. Such efficiency not only enhances the user experience but also fosters trust in the digital ecosystem. 

After all, one of the primary purposes of robust identity verification is to instill confidence during digital interactions. This goal is met more effectively through the use of holistic verification methods.

3. Automation and enhanced scan quality 

In the rapidly evolving IDV landscape, automated document capture and high-quality scans have become pivotal. They’re not just add-ons but fundamental elements that drive the accuracy and reliability of IDV systems. Here’s why they matter.

The impact of user device capabilities and photo quality on verification accuracy is immense. In a world where mobile devices are ubiquitous, leveraging the camera technology available in a user’s pocket is critical. The verification process starts with a clear, high-resolution image. If the initial capture is of low quality, the subsequent verification steps may be compromised. 

User devices vary greatly, and their capabilities directly influence the outcome of the verification process. A robust IDV system must be designed to handle this variance, ensuring that image capture is optimized across a range of devices to maintain high accuracy.

Automated document capture isn’t just about taking a picture; it’s about guiding the user through the process to ensure the best possible outcome. This includes recognizing various document types and prompting users to adjust their capture environment if necessary. Real-time feedback mechanisms can assist users in achieving the ideal capture, leading to more successful verifications.

Referencing the Regula Identity Verification Trends Forecast for 2024, the prioritization of document scan quality is highlighted as a significant trend. The forecast suggests that a move towards complete automation of capturing IDs is imminent, indicating the industry’s focus on enhancing the capabilities of document capture technologies. 

The survey included in the forecast underscores the necessity of high-quality scans. It’s a trend that can’t be ignored, given the direct correlation between scan quality and the effectiveness of the automated IDV process. Without high-quality scans, the reliability of verification results dips, potentially allowing for fraudulent documents to slip through the cracks.

4. Secure eDocument verification

The growing use of electronic documents and mobile verification is reshaping how we think about identity and security. In a digitized world, the convenience of using mobile devices for eDocument verification is clear, but this shift also brings significant challenges.

The primary challenge in mobile device-based eDocument verification is ensuring the security and authenticity of the documents being verified. This is compounded by the fact that mobile devices are often personal items, not dedicated security devices, and are therefore subject to a wider range of threats. 

Solutions to these challenges include advanced encryption, secure communication protocols, and robust identity document verification processes that are AI-driven and tailored to meet the evolving threats. These processes are critical in ensuring the data and the documents remain tamper-proof and genuine.

NFC and zero-trust

The zero-trust approach ensures data integrity and chip authenticity. It’s a security concept centered on the belief that organizations should not automatically trust anything inside or outside their parameters. Instead, they must verify anything and everything trying to connect to its systems before granting access. 

In practice, every access request is fully authenticated, authorized, and encrypted before being granted. Zero-trust architectures use technologies like multi-factor authentication, identity and access management, analytics, and encryption to enforce rigorous trust policies, ensuring that every attempt to access a resource is scrutinized, regardless of where the request originates.

NFC chip security is also crucial in the digital identity landscape. Techniques like mutual authentication, secure channel protocols, and advanced cryptographic methods safeguard communication between NFC chips and readers, ensuring the privacy and integrity of the data exchanged. The zero-trust approach is particularly effective in the context of NFC chip security, where the authenticity of the chip is paramount. 

Implementing a zero-trust framework can help organizations ensure that each chip is authenticated and its integrity checked before any data is accessed or any transaction is authorized. This mitigates the risk of unauthorized access and ensures that the chip and its data remain secure.

5. Addressing synthetic identity fraud

Synthetic identity fraud is a growing concern in the digital age as fraudsters continuously evolve their tactics, leveraging AI and machine learning to create fake IDs that are increasingly difficult to detect. As the methods used to create synthetic identities become more sophisticated, they more closely mimic legitimate identities’ complex patterns and characteristics. This sophistication often includes combining real and fabricated information to create entirely new identities that can bypass traditional verification processes.

The challenge in detecting these fraudulent identities lies in the subtle nuances that differentiate them from legitimate documents. Advanced techniques, such as deep learning algorithms, can now craft synthetic identities that can even fool some existing automated systems. As a result, the arms race between fraudsters and those who seek to thwart them is intensifying, with each side leveraging the latest technological advancements to outmaneuver the other.

The 2023 Inaugural Fake ID Report highlights the robustness of fake ID usage and ownership. A staggering 40.1% of underage individuals seeking alcohol reported having owned a fake ID, with bars and retail stores being common places of usage. Gender analysis reveals a slight edge in ownership among female sophomores, but most detected fake IDs belong to males, suggesting disparities in purchasing trends or usage behaviors.

As the report reveals, the methods employed to uncover fake IDs are sophisticated, with front/back crossmatching being a key technique exposing discrepancies in personal data. 

While this is a clear testament to the advanced fraud-detection capabilities of today’s technology, not all businesses can accurately detect fake IDs. Only those who use reliable ID scanning software manage to avoid the financial losses and noncompliance with regulations that less forward-thinking companies suffer.

6. Digital ID verification in the fight against misinformation

In an online environment increasingly plagued by bots, trolls, and the spread of fake news, the significance of digital ID verification mechanisms is even more important. As digital platforms become central to disseminating information and public discourse, guaranteeing the authenticity of user identities is paramount. 

The rise of ID verification technology is a direct response to the need for integrity in digital interactions. This surge aims to combat online bots, trolls, and fake news effectively. Malicious actors often exploit anonymity to spread misinformation and create discord, making robust ID verification crucial in addressing these challenges.

By requiring users to verify their identities, digital platforms can deter bad actors who rely on fake accounts to manipulate discussions and public perception. This shift towards transparency can also help to restore trust in online interactions and the credibility of digital content.

Drawing insights from a recent article, we see that identity verification is increasingly viewed as a critical tool in the fight against misinformation and extremist content. It is a solution that not only helps to secure digital platforms from misuse by inauthentic users but also supports the broader goal of maintaining a healthy and informative online ecosystem.

The theme we’re seeing is that when users know that their identities are tied to their online behavior, there is a natural inclination toward civility and honesty. This accountability can lead to more constructive conversations and reduce harmful or false content spread.

7. Regulatory compliance and global challenges

Navigating the web of global regulations is a significant hurdle for businesses that operate across borders. The impact of these regulations on identity verification processes is profound and ever-evolving. Companies must be agile and informed to keep pace with the constant flux of international compliance demands.

Every region has its own set of laws and guidelines, such as the General Data Protection Regulation (GDPR) in the European Union, which places strict controls on how personal data is collected and processed. 

Similarly, other countries have their own versions, like the California Consumer Privacy Act (CCPA) in the United States, creating a patchwork of regulations that businesses must adhere to. This complexity is compounded when considering sector-specific regulations for identity verification, such as know your customer (KYC) and anti-money laundering (AML) standards for financial institutions.

To stay compliant, it is essential for businesses to invest in technologies such as IDV that can adapt to regulatory changes. A platform that evolves with the company’s needs over time can serve as a reliable partner in growth, ensuring compliance does not become a barrier to scaling operations. 

Additionally, companies must prioritize data security and user privacy, implementing measures to protect the digital identities they manage. This includes encrypted data storage, secure user authentication, and transparent data usage policies.

Most importantly, staying informed is key. Regularly updating compliance programs and training staff on the latest regulatory developments can help businesses anticipate changes and respond proactively. Partnering with experts in the field and participating in industry forums can provide valuable insights into best practices and emerging trends.

8. Corporate cybersecurity and AI-generated threats 

In the evolving landscape of cybersecurity, AI-generated threats have become a significant concern for corporations. As artificial intelligence advances, so does the toolkit of cybercriminals, leading to the rise of highly sophisticated and personalized phishing attacks. 

Recent incidents have shed light on the capabilities of AI to impersonate individuals, creating an urgent need for businesses to reinforce their security measures with AI-enhanced solutions. The Wall Street Journal reported a case where criminals used AI-based software to impersonate a CEO’s voice, convincing another executive to transfer substantial money. 

This case is a stark reminder that the human element remains a critical vulnerability in corporate security. It underscores the importance of new-school security awareness training, designed to educate employees about the nuances of AI-generated threats and to build a culture of vigilance and skepticism, especially when dealing with requests for sensitive actions or information

9. Contactless travel

Contactless travel is swiftly becoming the norm as the industry moves towards solutions that promise passengers a smooth and efficient journey. The trend encompasses a suite of technologies enabling travelers to navigate various checkpoints without presenting physical documents. 

A recent article from Travel Weekly highlights the adoption of contactless travel processes for a rapid, self-managed boarding process, luggage pick-up, and hotel check-in, reducing wait times for travelers across the board.

For airport security and border control, the implications of this shift are profound. Contactless technology can help to enhance security measures by enabling more accurate and reliable identity verification. This technology can also process large volumes of passengers more efficiently, cutting down on queues and improving the overall travel experience. 

In addition, it minimizes the number of interactions between travelers and staff, which is particularly beneficial in the current climate of global health concerns. As travelers become more accustomed to digital interactions in their daily lives, their expectations for seamless travel experiences follow suit, driving the industry to rapidly innovate and adopt these contactless systems.

10. Age verification in internet transactions

Given the increasing concerns surrounding the accessibility of content inappropriate for minors and the legal requirements to restrict such access, the integrity of age verification processes is paramount. 

Several technologies and methods have emerged to ensure online experiences are age-appropriate. Traditional approaches include verifying a user’s age through financial credentials or government-issued ID, managed by a third-party service to maintain user privacy. Innovations in this field are advancing with techniques such as biometric age verification, as experimented with by big-name platforms like Meta for its Facebook Dating feature.

Businesses must navigate a complex web of regulations that mandate age verification across sectors, from e-commerce to online gaming and social media. 

To remain compliant, companies can integrate third-party verification services, ensuring they do not directly handle sensitive personal information, thus upholding user privacy and meeting legal standards. Furthermore, cryptographic methods, such as zero-knowledge proof (ZKP), offer promise for anonymous authentication, potentially mitigating privacy concerns while satisfying regulatory requirements.

Looking forward 

As we’ve navigated the pressing issues of our digital era, from combatting deepfakes to ensuring contactless travel, it is quite clear that staying ahead of—or at least keeping up with—identity verification trends is of the utmost importance. 

Identity verification services have become the cornerstone of secure online interactions, providing the assurance that the person on the other end of a transaction is who they claim to be. Secure eDocument verification has risen as a shield against fake IDs while also playing a crucial role in the incessant fight against misinformation and the growing threat of AI-generated falsifications that corporations face.

The landscape of identity verification solutions is evolving rapidly, with effective identity verification not just a luxury but a necessity for maintaining the integrity of online interactions and user trust. 

Despite the rapid evolution of identity verification, Microblink has emerged as a leader by offering a comprehensive solution for identity document checks.

This holistic approach to identity verification allows for easy integration into companies’ existing systems, ensuring the verification process is as user-friendly as it is secure. Plus, Microblink’s solutions are designed to evolve with the shifting landscape so your business can maintain a competitive edge while adhering to stringent security protocols.

Integrate ID document scanning into your existing application today

Continue reading

Find more thoughts on the industry insights, use cases, product features, trends in AI, and development processes.

What is identity documentation verification and how does it work in finance?
ID and Document Verification

What is identity documentation verification and how does it work in finance?

August 31, 2023

Identity document verification ensures the authenticity of presented documents, which helps to mitigate the risk of fraudulen…

Upgrade your UX with ID document scanning for web browsers

Upgrade your UX with ID document scanning for web browsers

February 23, 2023

How easy is it for your customer to start utilizing your product or service? In an age with no abundance of time, no shortage…

Microblink’s top 5 blogs of 2022

Microblink’s top 5 blogs of 2022

December 28, 2022

What a year it has been.  For both our Identity and Commerce business units, 2022 was highlighted by growth, innovation…

Identity Document Scanning product updates – November 2022
Product Updates

Identity Document Scanning product updates – November 2022

November 22, 2022

Find out what’s new in the v6 release of Identity Document Scanning, and how the updates empower your solution and delight yo…

Blue in the face: Twitter’s vexing verification raises identity issue on social media
Social Media

Blue in the face: Twitter’s vexing verification raises identity issue on social media

November 17, 2022

In the Twittersphere, the term “verified” has progressively taken on a meaning of its own. It was back in 2009 when the socia…

Document Verification product updates – August 2022
Product Updates

Document Verification product updates – August 2022

August 10, 2022

Here’s a quick overview of all new features and supported documents in the latest version of Document Verification. Our…

Identity Document Scanning product updates – July 2022
Product Updates

Identity Document Scanning product updates – July 2022

July 31, 2022

We’re super excited to announce a new-better-than-ever version of Identity Document Scanning with 50 new identity docum…

Security by Design Meetup Recap

Security by Design Meetup Recap

May 21, 2024

Discover insights from the panel session on security by design and best practices. This blog post is a recap of our highly su…

How to Enhance Your Fraud Detection in Banking Transactions

How to Enhance Your Fraud Detection in Banking Transactions

May 13, 2024

Digital banking has completely revolutionized how we manage our transactions and accounts. However, with the ease and conveni…

Understanding Today’s US Online Gambling Laws
Online gambling

Understanding Today’s US Online Gambling Laws

April 26, 2024

Online gambling has been a popular pastime since its inception, but it soared to substantial new heights during the pandemic…