As cybercrime continues to cost the world economy billions annually, a robust new coalition launched by Google, the DNS Research Federation, and the Global Anti-Scam Alliance (GASA) is working to disrupt online scammers at a global level. By all accounts, this partnership constitutes a "game changer." The United Coalition focuses on revealing and thwarting fraudulent activity online.
Online Scam Fighting via the Global Signal Exchange
The coalition will be launching a data platform called Global Signal Exchange, which will 24/7 scan open cyberspaces for signs of fraudulent activity and issue alerts. For a platform, it will leverage the DNS Research Federation's DAP.live: an aggregation platform that consolidates feeds from over 100 sources to spot potential scams. Google enhances these efforts while providing relevant feeds from DAP.live that should provide an even more comprehensive view of online fraud as it begins to take shape.
A Growing Threat in the Digital Age
Some scams are becoming almost too clever nowadays, to the extent that an estimated $8.6 billion is lost worldwide due to such scams each year, with few cases going to convictions. In the UK alone, each person is targeted nearly 240 times a year by a scammer via emails or texts from fake legitimate businesses or offices asking them for personal information, such as bank or credit card details.
Britain estimates the average loss per person due to scams is £1,169. Overall, 11% of adults admit that they have fallen for online fraud. More alarming is the economic loss in the proportion of older adults, which indicates people aged 55 and above lose an average amount of £2,151. Those between 36 and 54 lose about £1,270, while those less than 35 years old lose about £851.
The Call for International Cooperation
Another challenge while combating online scams is that many of the criminal organisations behind these scams are operating from abroad, often from such countries as Russia and North Korea. This international nature makes it even more difficult for local authorities to keep an eye on and legally prosecute them. The coalition aims to balance this gap by sharing scam information in real time, thereby creating a chance to respond quickly to new emerging threats. This collaborative approach will serve crucially because cybercriminals often operate in groups and have done all of this work so fast, which has made it really hard to fight scams alone by any single organisation.
Scammers collaborate, they pool and they act fast. The days when individual brands could combat cybercrime on their own are gone. Global Signal Exchange usher in a new chapter in the battle against cybercrime, and Google's partnership promises to be the game-changer," said Emily Taylor, Chief Executive of DNS Research Federation.
Scammers Use All Too Familiar Brand Names Trapping Victims
The research carried out by the coalition indicates that fraudsters make use of the identity of conspicuous brands to acquire victims. Some of the very popular brands currently being used in scams are: home delivery and courier services; financial services, including banks, insurance, and loan companies; companies in the Technology, Media, and Telecoms sector; many public sector organisations, including HMRC and local councils; and, in a few instances, prominent charities.
According to DNS Research Federation, the volume of scams seems to peak each year in November during the Black Friday promotions and associated online shopping. Much of such activity is occurring because of heightened online activity. Thus, proper defences are quite essential when activity reaches such peak levels.
An alliance towards consumers' protection around the world
The Global Anti-Scam Alliance was established in 2021 to create a network of businesses that stand together to protect consumers online from fraud. GASA, in partnership with Google and the DNS Research Federation, will decrease the profitability of scams in order to make them less appealing to cybercriminals.
As threats in cyber continue to grow and seemingly intensify, this alliance will very largely form a critical element in the protection of users internationally. The Global Signal Exchange represents a major leap forward in efforts on anti-scam activities as it promises that consumers will be better protected from online fraud, and are able to navigate an increasingly complex digital environment more securely.
Singapore is experiencing the dread of scams and cybercrimes in abundance as we speak, with fraudsters relying more on messaging and social media platforms to target unsuspecting victims. As per the recent figures from the Singapore Police Force (SPF), platforms like Facebook, Instagram, WhatsApp, and Telegram have become common avenues for scammers, with 45% of cases involving these platforms.
There was a marked increase in the prevalence of scams and cybercrime during the first half of 2024, accounting for 28,751 cases from January to June, compared to 24,367 in 2023. Scams, in particular, made up 92.5% of these incidents, reflecting a 16.3% year-on-year uptick. Financial losses linked to these scams totaled SG$385.6 million (USD 294.65 million), marking a substantial increase of 24.6% from the previous year. On average, each victim lost SG$14,503, a 7.1% increase from last year.
Scammers largely employed social engineering techniques, manipulating victims into transferring money themselves, which accounted for 86% of reported cases. Messaging apps were a key tool for these fraudsters, with 8,336 cases involving these platforms, up from 6,555 cases the previous year. WhatsApp emerged as the most frequently used platform, featuring in more than half of these incidents. Telegram as well was a go-to resort, with a 137.5% increase in cases, making it the platform involved in 45% of messaging-related scams.
Social media platforms were also widely used, with 7,737 scam cases reported. Facebook was the most commonly exploited platform, accounting for 64.4% of these cases, followed by Instagram at 18.6%. E-commerce scams were particularly prevalent on Facebook, with 50.9% of victims targeted through this platform.
Although individuals under 50 years old represented 74.2% of scam victims, those aged 65 and older faced the highest average financial losses. Scams involving impersonation of government officials were the most costly, with an average loss of SG$116,534 per case. Investment scams followed, with average losses of SG$40,080. These scams typically involved prolonged social engineering tactics, where fraudsters gradually gained the trust of their victims to carry out the fraud.
On a positive note, the number of malware-related scam cases saw a notable drop of 86.2% in the first half of 2024, with the total amount lost decreasing by 96.8% from SG$9.1 million in 2023 to SG$295,000 this year.
Despite the reduction in certain scam types, phishing scams and impersonation scams involving government officials continue to pose serious threats. Phishing scams alone accounted for SG$13.3 million in losses, making up 3.4% of total scam-related financial losses. The SPF reported 3,447 phishing cases, which involved fraudulent emails, text messages, and phone calls from scammers posing as officials from government agencies, financial institutions, and other businesses. Additionally, impersonation scams involving government employees increased by 58%, with 580 cases reported, leading to SG$67.5 million in losses, a 67.1% increase from the previous year.
As scammers continue to adapt and refine their methods, it remains crucial for the public to stay alert, especially when using messaging and social media platforms. Sound awareness and cautious behaviour is non negotiable in avoiding these scams.
Although there is no evidence that the CrowdStrike outage was caused by malicious activity, some bad actors are attempting to take advantage.
Cyber agencies in the UK and Australia are warning people to be vigilant to fake emails, calls and websites that pretend to be official.
And CrowdStrike head George Kurtz encouraged users to make sure they were speaking to official representatives from the company before downloading fixes. “I want to sincerely apologize directly to all of you for today’s outage. All of CrowdStrike understands the gravity and impact of the situation. We quickly identified the issue and deployed a fix, allowing us to focus diligently on restoring customer systems as our highest priority.,” Kurtz said in a blogpost.
Anytime there is a major news event, particularly one involving technology, hackers respond by adjusting their existing methods to account for the anxiety and uncertainty.
We witnessed the same thing with the Covid-19 pandemic when hackers modified their phishing email campaigns to include viral information and even pretended to have an antidote to hack people and organizations.
Because the IT breakdown has become a global news issue, hackers are capitalising.
According to SecureWorks researchers, there has already been a significant increase in CrowdStrike-themed domain registrations, which involve hackers registering new websites that appear to be official and potentially trick IT managers or members of the public into downloading malicious software or handing over private information.
The advice is mostly for IT managers, who are being impacted while they work to restore their organizations' online operations.
Individuals may also be targeted, thus experts advise caution and to only act on information obtained through legitimate CrowdStrike channels.
The codes, which are a digital jumble of white and black squares that are frequently used to record URLs, are apparently commonplace; they may as well be seen, for example, on menus at restaurants and retail establishments. The Federal Trade Commission cautioned on Thursday that they could be dangerous for those who aren't cautious.
According to a report by eMarketer, around 94 million US consumers have used QR scanner this year. The number is only increasing, with around 102.6 million anticipated by 2026.
As per Alvaro Puig, a consumer education specialist with the FTC, QRs are quite popular since there are endless ways to use them.
“Unfortunately, scammers hide harmful links in QR codes to steal personal information,” Puig said.
The stolen data can be misused by threat actors in a number of ways: According to a separate report by FTC, the identity thieves can use victim’s personal data to illicitly file tax returns in their names and obtain tax refunds, drain their bank accounts, charge their credit cards, open new utility accounts, get medical treatment on their health insurance, and open new utility accounts.
In some cases, criminals cover the legitimate QR codes with their own, in places like parking meters, or even send codes via text messages or emails, luring victims into scanning their codes.
One of the infamous tactic used by scammers is by creating a sense of urgency in their victims. For example, they might suggest that a product could not be delivered and you need to reschedule or that you need to change your account password because of suspicious activity.
“A scammer’s QR code could take you to a spoofed site that looks real but isn’t,” Puig wrote. “And if you log in to the spoofed site, the scammers could steal any information you enter. Or the QR code could install malware that steals your information before you realize it.”
According to FTC, some of the measures one can follow to protect themselves from scams are:
Microsoft has issued a warning regarding a surge in sophisticated phishing scams targeting individuals and organizations. These scams employ advanced tactics to deceive users and steal sensitive information. With an increasing number of people falling victim to such attacks, it is crucial to stay vigilant and implement necessary precautions.