Combating Scams and Online Frauds: A Call for Identity Verification and AI-Powered Pattern Recognition in Domain Registration

I recently reported a concerning pattern of scam websites operating openly on the surface web, selling pirated licenses for Windows, antivirus software, games, and other popular software. This scam network has shown remarkable persistence—registering new domains with slight name changes (prefix, suffix, circumfixes) each time they’re flagged or taken down by domain registrars, payment gateway providers, or hosting providers. It seems likely that a single individual or organized group has been orchestrating this scam actively since as far back as 2018.

In the era of digital commerce and communication, securing the internet has never been more critical. One growing challenge is the proliferation of fraudulent domains—websites registered with the intent of scamming users through fake services, pirated software licenses, phishing schemes, and more. Many of these scams are perpetrated by individuals or organized groups that continually register new domains with slight variations, allowing them to evade detection and keep fraudulent activities operational.

GoDaddy 's response highlights a limitation commonly faced by domain registrars—they act as intermediaries in the online ecosystem, managing domain registrations but not directly overseeing the content hosted on those domains. Their reply reflects this boundary, as they point to hosting providers as the responsible parties for taking down or addressing scams, or online frauds. However, this approach raises questions about what proactive steps domain registrars like GoDaddy could take to prevent abuse from the outset.

In this case, malicious actors keep changing the hosting providers and payment gateway providers if they get flagged or blocked for platform abuse. However, the key commonalities of those 50+ scam websites are registered and renewed on GoDaddy as their domain registrar which indicates the weakness in the GoDaddy platform Identity verification methodologies help malicious actors to operate their scams or fraudulent activities for years.

By examining recurring patterns - such as similar domain names, email addresses, payment methods, and DNS records used in the new domain registrations - registrars could play a more active role in preventing these scam domains from taking root. While GoDaddy’s Abuse and Legal teams may be limited in their ability to intervene on content, enhancing cross-platform collaboration and exploring identity verification measures for new registrations could help curb scams at the source, fostering a safer online environment.

Understanding the Problem: The Rise of Domain-Based Scams

Domain-based scams have been prevalent for decades, targeting unsuspecting users with promises of false services, heavily-discounted gadgets, pirated software, games, and more. By using legitimate-sounding URLs, these scam websites appear credible to users, enabling scammers to profit from fake services or pirated products.

The problem is compounded by the ease with which domains can be registered anonymously, allowing malicious actors to re-register and keep their scams running. Without identity verification at the registration stage, scammers can evade detection by using different email addresses and payment methods for each new registration. As a result, both users and the broader internet community are left vulnerable.

Suggested Solutions for Effective Domain Registration Security

While user identity verification might seem challenging to implement, domain registrars can adopt a few practical solutions to enhance registration security without compromising user experience:

1. Multi-Tiered Identity Verification: For regular domain registrations, the domain registrars could implement a basic identity check. For high-risk categories—such as domains related to financial services, software sales, and e-commerce — a more comprehensive verification process could be put in place.
2. AI-Powered Pattern Recognition: By using AI to detect and flag patterns associated with scams, domain registrars could proactively identify high-risk registrations. This could include monitoring the repeated use of certain keywords, DNS patterns, and suspicious payment methods linked to previous scams.
3. Collaborative Data Sharing with Authorities: Domain registrars could develop closer ties with cybersecurity agencies and data-sharing programs that enable registrars to report suspicious registrations. This would make it easier to flag potential scams while respecting privacy regulations.
4. Transparency in Enforcement: Domain registrars could increase transparency by publishing periodic reports on how they address abuse, similar to transparency reports published by major tech companies. This would demonstrate its commitment to user safety and accountability.

A Call to Action: GoDaddy’s Opportunity to Lead

As one of the largest domain registrars in the world, GoDaddy has a significant role in shaping a safer internet. Currently, GoDaddy and similar registrars emphasize their role as neutral parties that facilitate domain registration rather than monitoring content. However, by taking a more proactive approach, GoDaddy could help reduce the impact of domain-based scams by ensuring that registrants are legitimate and traceable. Here are a few reasons why GoDaddy should consider implementing user identity verification:

1. Enhancing User Trust and Safety: Implementing identity verification would signal to users that GoDaddy prioritizes their safety and actively works to reduce scams on its platform. This could differentiate GoDaddy as a more secure registrar in a highly competitive market.
2. Mitigating Repeated Abuse: Identity verification could prevent malicious actors from repeatedly registering new domains under slight variations. By flagging or blocking suspicious account activity, GoDaddy could proactively reduce instances of abuse at the registration stage.
3. Supporting a Safer Internet Ecosystem: As a key player in the Internet infrastructure, GoDaddy’s proactive measures could set a precedent for the industry. By leading the way, GoDaddy could inspire other registrars to adopt similar safeguards, collectively creating a safer internet ecosystem.
4. Aligning with Global Security Standards: Cybersecurity standards and privacy regulations continue to evolve worldwide, with increasing pressure on organizations to prevent abuse. Implementing identity verification could keep GoDaddy ahead of the curve in addressing regulatory and security expectations.

I believe domain registrars have an opportunity to take the lead in reducing online scams or frauds at their source. If GoDaddy were to adopt identity verification and these proactive security measures, it could set a new industry standard, helping to protect users across the internet.

Aman Bhutani , as CEO of one of the world’s largest domain registrars, how do you see GoDaddy’s role in preventing the misuse of domain registrations for online scams and fraud? Given the rise in scam domains repeatedly registered with minor variations, could implementing identity verification or monitoring registration patterns be a step toward a safer internet?

I hope this article prompts further exploration into how domain registrars can prioritize Internet Safety to prevent domain-based scams and online fraud. Together, we can work toward a safer, more secure internet for everyone.

Let’s continue this conversation and explore actionable steps for a safer internet.

Dinesh (d09r)

GoDaddy Abuse (Malware, Phishing, CSAM, Scam, Spam, Illegal & Inappropriate contents) Report form https://supportcenter.godaddy.com/abusereport

Submitting a Complaint to ICANN on DNS Abuse and other types of Abuse (Registrars) https://www.icann.org/compliance/complaint