This document discusses how user behavior analytics can help online gaming companies combat fraud. It outlines the challenges of fraud in the industry, including sophisticated fraudsters and anonymity of users. Behavioral biometrics provides a layered approach to understand users in real-time and identify deviations that indicate risk. This passive approach can validate trusted users, reduce fraud, and allow companies to offer more to genuine customers while maintaining trust and safety.

1. Who’s Playing Who?!
The game of stopping risk
by knowing your user.
© 2015 NuData Security, Inc.

2. Agenda
• Online Fraud in the Industry
• What’s on the Line?
• Challenges in Combating Fraud in Gaming
• The Risks & The Missing Link
• The Secret Weapon
• The Results
© 2015 NuData Security, Inc.

3. Online Fraud in the Industry
• Under more pressure to deliver
• More and more competition à Increased need to deliver a excellent product and play
• Increase in sophistication of fraudsters
• Gone are the days when we see bad actors signing on using the same 50 email addresses
• Multiple communication channels between players
• Collusion – people are using multiple accounts in an attempt to defraud the system
• Increasing need for real-time risk assessment
• Understand what is going on in real-time to be able to protect yourself and
understand who your customers are
• Maintaining customer trust
• Reducing customer attrition and maintaining customer trust is paramount
With high levels of expected growth, the gaming industry is !
increasingly a target for highly sophisticated, organized fraud.
© 2015 NuData Security, Inc.

4. A World of Anonymity
Players are sitting behind
machines and you don’t
really know who they are
• It is important to get to
that next level where
you’re not just dealing with
a machine
• Truly understand who you
are doing business with
© 2015 NuData Security, Inc.

5. What are the Risks?
• Monetary
• Reputation
• Card Schemes & Chargebacks
• Member Attrition
• Compliance
• Operational
© 2015 NuData Security, Inc.

6. What’s on the Line?
The online gaming
industry is
estimated to be
valued at
£27 billion or
$41.4 billion in
2015
Source:
Aite
© 2015 NuData Security, Inc.

7. The Missing Layer
KBAS
Device
Passwords
(Knowledge)
(Possessions)
Basic.
A password is
either right or
wrong, what more
information do you
have?
Binary.
What happens when a
player changes their
device?
© 2015 NuData Security, Inc.

8. The Secret Weapon
User Behavior Biometrics
© 2015 NuData Security, Inc.

9. The Secret Weapon
• Predictive Behavioral Biometrics
• A layered approach to understanding who
a player is and how they are interacting in
real-time.
• Know the real user and
understand their behavior
• How they interact with different devices?
• How the player moves across
environment?
• Know who to trust
• Is this truly the correct human interacting
with your environment?
© 2015 NuData Security, Inc.

10. Where it Fits
KBAS
Behavior
Device
Passwords
(Knowledge)
(Ac2ons)
(Possessions)
Basic.
A password is
either right or
wrong, what more
information do you
have?
Binary.
What happens when a
player changes their
device?
Confidence.
We know that this is
the right user based
on the way they are
interacting.
© 2015 NuData Security, Inc.

11. What it Does
Is the player behaving like a human?
Is the player behaving like others?
Is the player acting safely?
Passively validates users using predictive behavioral
biometrics
• Understand when there are deviations and emerging threats that don’t make
sense within the environment
© 2015 NuData Security, Inc.

12. How?
DeviceID
Location
Typing
Angle of Device
Scrolling
Continuous Behavior Analysis
User Actions
Does this data,
when all combined,
make sense for who
this user is and who
we’re expecting
them to be?
© 2015 NuData Security, Inc.

13. The Needle in the Haystack
© 2015 NuData Security, Inc.
Why are we looking for the
needle when all of that good
hay is sitting there?
• The overwhelming majority of
interactions within your online
environment are from good, safe
customers
• Identify those good customers and
then that bad needle will make itself
evident

14. Do you know your users?
© 2015 NuData Security, Inc.
• This is one of NuData’s customers logins over a 30 day period. What is safe in this
environment and what is potentially risk?
• Layer risk on and start to clearly be able to see outliers who are doing things that
don’t make sense – creating risk

15. Now you Know
• The
risk
presented
by
exis6ng
and
new
customers
• Understand
when
customers
are
crea6ng
risk
• When
it
is
the
correct
user
behind
the
account
• When
the
user
has
changed
• Even
when
you
see
the
correct
devicea
and
the
correct
ID,
you
can
know
that
it’s
not
the
correct
person
who
has
logged
into
this
account
• Mul6
account
risk
• Who
you
can
trust
© 2015 NuData Security, Inc.

16. When You Know Who to Trust
• Validate
trusted
users
early
• Reduce
fraud
• Accept
more
players
quickly,
reduce
risk
• Provide
quality
experience
for
trusted
players
• Add
the
capability
of
being
predic6ve
about
who
your
good
customer
is
Offer
more.
Grow
Footprint.
Trust.
© 2015 NuData Security, Inc.

17. Keep Your Good Users
© 2015 NuData Security, Inc.
• What genuine users want: Trust & Safety without
Friction
• You want a solution that can passively identify who
your users are

18. The Big Wins
Reduce
false
posi.ves
Increase
trust
and
safety
for
all
users
across
all
devices.
Grow
Sales
Offer
higher
value
promos
to
trusted
users
Reduce
fric.on
Improve
Conversion
© 2015 NuData Security, Inc.

19. Thank You!
© 2015 NuData Security, Inc.
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