Care to do a write up of what you're doing as far as fraud prevention goes? However you feel about Airbnb, this was an interesting post. It's not ground breaking or earth shattering, but it shows the tech stack that a large company is using to solve a real problem, and that's useful. They even did a fairly good job of explaining the why.
Care to do a write up of what you're doing as far as fraud prevention goes?
Sure, but only high level. I would hazard a guess that fraud prevention is a lot more complex for us at https://www.kraken.com/ ... dealing with many cryptographic currencies and conventional currencies spread across probably over a hundred legal jurisdictions is not easy. We likely have to consider far more factors than these guys. We have recently added two more quants from programs highly regarded in the conventional finance industry to our team, plus we have over seven figures of investment in legal and training programs in the area. We also use R.
Basically, it's inputs (behavior), processing (metric extraction, risk model), output (boolean choices, statistical cluster membership, etc.)... where a series of such outputs may feed in to a heirarchy of scores for different elements within a system. Some applications may be real time, others after-the-fact.
At a high level, which is mostly where my involvement is in hiring people, fraud prevention is not dissimilar to spam or intrusion detection: you can basically use a combined, constantly tweaked set of inputs to a Bayesian-style scoring algorithm. Inputs include both static rules and statistical anomaly detection.
