Should banks be responsible for the losses of online fraud?

We are all used to reading about the “pork” included in the legislation that comes out of the Capitol Hill. Online fraud known as “swine slaughter” is a completely different thing.

The fraud includes electronic thieves in different shades in the world that benefit from not revealing their identity on the Internet and its sexual liability to switch naive signs of their lives savings. While less explanatory for the nature of the crime, these shells are often referred to as “romantic fraud”.

Whether it is linked to real or electronic worlds, fraud such is not new. But the new is the use of technology to reach a world of signs immediately, as well as the measure and scope of the potential damage that can be done.

Romantic fraud is said to be more than $ 4.4 billion in 2023 – and he waited for artificial intelligence to improve. Since more victims – especially the elderly – feel comfortable with the savings of their lives through this and similar plans, some have suggested banks that market money to the fraudsters towards their customers responsible for the loss.

The demand for software, artificial intelligence developers, network providers and commercial companies to enhance their electronic defenses and to be more responsible for violations will help increase security over the Internet. But the victims of romantic fraud are just people who take what can be described at best as bad financial decisions. Converting banks into the financial hall screens and making them responsible for the romantic romantic errors for customers will create more problems than it might solve.

At least, banks are supposed to compel the cost of this fraud, which forced us all to share the loss. The average credit card rate is 20 percent, in part due to the fact that 63 percent of credit card holders incurred $ 6.2 billion of fraudulent fees in 2024 they were not responsible for.

Like Ransomwari, romantic fraud is low -cost crimes in which their perpetrators have no little chance to arrest them. But there is a lesson to learn from how governments have decided to deal with ransom attacks.

There were 478 million ransom attacks all over the world between 2021 and 2023. Each paid ransom was provided to verify tangible health of the striker’s ransom business model, whether the victim was dug in his pocket or insurance to cover the loss. But as government targets and other targets are increasingly stopped from paying a ransom, the number of attacks decreased by 51 percent. In essence, criminal companies via the Internet are companies that need to make profit.

Increased knowledge of technological reading and writing would help by educating consumers to suspicious, they tell that they should monitor. But learn how to use technology properly is an ambitious goal that we must put a little shares in it.

Banks can adopt procedures that require a second recording before performing specific size transfers, such as protocols required to launch certain weapons. But this would complicate and slow down the wired process, which is taking the cheating couples who have been absorbed due to such fraud and angered those who prefer immediate gratification when it comes to delivering money.

However, none of these parties will treat the basic insecurity of the Internet and the unable to end its users.

Like many other online fraud, romantic fraud can occur because there is no real authentication for any person in electronic space. Although a computer may introduce each other, in most cases, no one knows who is on both sides of the operation of those machines – or if they are human.

This contrasts sharply with our analog life, as we must get to know ourselves as real people who live on real titles. We are required in this world to provide passports when we travel, get drivers, marriage, dog, fishing and fishing. All you need in the Internet world is a computer that can be set a series of numbers known as the IP address. In order to reform the problem of approval – which we can – there is no opportunity to achieve effective security online.

Besides ratification, real security also requires standard governance, as global organizers create rules that can be implemented already – just like real life. Failure to adhere to the criteria of governance should end the presence of the user online. This requires online police, a person or otherwise, and police mechanisms that can impose rules using killing keys if necessary to eliminate rogue actors. Such standards are particularly important given that we (unauthorized) share the Internet with opponents such as North Korea, Iran, Russia, China, proxy infiltrators and all of the online deception on Earth.

There are 100 other improved security measures that can be adopted, all of which add up to a big thing if consumers, companies and governments are not stimulated economically and want to make difficult options to rebuild how the electronic space works. Given the modern trends that reflect the lack of confidence in governments, institutional institutions and institutional brokers will be likely to continue the Internet weaknesses significantly.

This means that the electronic space will remain the ideal stadium for crawling that is looking for “pork” via the Internet, so that the democratic countries in the world decide to rebuild the electronic space into safer specifications. Opportunities that will happen soon are very low, so good luck.

Thomas B. Varthanian is the Executive Director of the Center for Financial Technology and Cyber Security, and the author of the book “” “The internet that cannot fall“