Abuse Economics: Breaking the Business Model of Fraud

Long-term reductions in fraud have less to do with stopping each instance of abuse and more to do with undermining the economic viability of a fraudster's business. Motivated by financial gain, fraudsters can only sustain their business operations when the cost of executing abuse is less than the value that can be extracted. Accordingly, the motivation of a fraudster is diminished when they stand to gain very little from their attacks. This presentation contextualizes fraud in the greater abuse economy and discusses how merchants can use specific techniques to consume fraudsters' operational resources, crush their business models, and force them to surrender.