GMB - What is the reason behind the merger of the two brands for the Brazilian market? Thiago Bertacchini - Nethone is now known as Mangopay Fraud Prevention. This move aims to consolidate a leading fintech in B2B fraud prevention and user risk management services. We propose creating a hub of products and services from both brands to generate a safer online environment and increase conversion rates.
The unification of Nethone with Mangopay positions us well to operate in Brazil and create a safer online environment. Brazil is ranked 10th in identity fraud according to the Global Fraud Index. Therefore, Mangopay uses its proprietary Know Your Users technology and Fraud Prevention solution, which employs artificial intelligence and data analysis to recognize user navigation and transaction patterns, preventing fraudulent actions that deviate from the identified patterns of genuine consumers.
What types of prevention and protection does the company apply in a growing industry like Brazil?
Mangopay’s solution evolves with the progression of fraud schemes, adapting to market demands to offer fraud prevention solutions that are aware of and prepared for the complexity of crime. Instantaneous data analysis through detailed monitoring of users on betting platforms, for example, allows for the identification of erratic and unconventional behaviors of legitimate account owners, automatically preventing transactions and interactions from fraudsters.
What were the main challenges Nethone faced when entering the Brazilian market, and how did you overcome them?
Entering any new market involves establishing our brand and educating the market on our services and their importance in safeguarding platforms and users. We built our reputation in Brazil by participating in and sponsoring events, providing expert insights in the media, and benefiting from word-of-mouth from satisfied clients. The next phase is to continue growing our profile as the Mangopay brand.
Can you describe how the company addresses the issue of money laundering in its operations in Brazil?
Mangopay provides tools and insights to help clients combat money laundering, particularly in the use of shadow accounts, multiple accounts, and atypical user behavior.
How does the company adapt its fraud detection solutions to meet the specific needs of the Brazilian market?
We maintain close contact with major industry players in Brazil, gathering insights and feedback, and work through proof-of-concept periods so clients can validate our solutions in practice. Additionally, our profiler collects over 5,000 metadata points related to hardware, software, devices, browsers, and behavioral biometrics, facilitating the learning curve of our AI across various fraud contexts.
Can you share success stories or case studies of partnerships with Brazilian companies such as Azul, Grupo Boticário, and BlaBlaCar?
With BlaBlaCar, the main issue was the creation of fake accounts or hijacking existing ones by fraudsters aiming to offer fake rides and access data or perform banking transactions. Our solution involved several factors to combat identity fraud, such as requiring biometric data, creating detailed profiles, analyzing patterns, and using machine learning models. The detection system prevented most fake account attempts with minimal false positives. In one case, the tool successfully detected and blocked a single user/device from attempting to open 537 different accounts within one month.
What are the main fraud trends Mangopay is observing in Brazil, and how does your technology help mitigate these risks?
The main fraud trends in Brazil involve identity fraud and fraud on betting and online shopping sites. Mangopay’s technology mitigates risks through a range of technologies used to profile legitimate users, analyzing online transaction habits to the smallest details, such as mouse movements. Behavioral recognition technology helps prevent fraudsters from posing as others and conducting financial transactions across various sites.
How does Mangopay use Know Your User (KYU) technology and AI tools to ensure the security of Brazilian consumers' transactions?
Mangopay’s proprietary Know Your Users technology relies on AI to address fraud challenges for institutions, platforms, and global financial markets. Its advanced monitoring and blocking techniques protect against over 100 types of fraud risks, including network anonymity, remote access tools (RATs), bots, account control, and unlocked devices. Mangopay’s fraud prevention solution offers clients a modular approach that provides end-to-end protection throughout the user journey, from login to post-payment, ensuring peace of mind for clients and partners while enhancing customer experience.
What is the significance of the Fintech Breakthrough Awards for Fraud Prevention and Transaction Security for Mangopay’s credibility in the Brazilian market?
As with all awards, recognition is welcome, and success at the Fintech Breakthrough Awards helps establish Mangopay in the market and collective consciousness as a company not only keeping up with business and consumer demands but also staying updated.
How has the partnership with the Mangopay Group influenced Nethone’s operations and growth in Brazil?
Initially, there won’t be much operational change. We will continue to provide clients with our industry-leading AI-based fraud prevention solutions with a clear and cohesive brand identity in Brazil and worldwide. Looking ahead, the change also empowers us to increase our market share in Brazil and leverage our powerful technology and expertise, investing in product innovation to offer clients the best solutions.
How does the company collaborate with Brazilian companies to educate the industry on the importance of fraud prevention?
Mangopay collaborates with Brazilian companies to educate the market on fraud prevention by implementing advanced technological solutions such as AI and machine learning, which identify and adapt to new fraud tactics. We integrate multiple layers of verification to enhance security without compromising user convenience. Additionally, we work with specialized technology providers to create more effective solutions and educate companies and consumers on best security practices, emphasizing the importance of investing in cybersecurity to protect assets and business reputation.
What are the company’s future plans for expanding its presence and services in Brazil?
The future of digital fraud prevention involves intensive use of AI to detect suspicious behavior in real time, utilizing fraud prevention tools to ensure maximum security without compromising the legitimate user experience and minimizing friction. We believe innovations that enable silent authentication, where users do not notice the security technology throughout their journey, will increasingly dominate the market.
To mark the merger, Mangopay will sponsor the Fórum E-commerce Brasil 2024. The 15th edition will take place from July 30 to August 1 at Distrito Anhembi in São Paulo, with the central theme being the human as the protagonist of technology. This will be Mangopay's first participation in a national event following the merger.
Source: Exclusive GMB
