Week of March 25, 2024

Explore the cutting edge of innovation and security with The State of Identity, your weekly source for the latest in Digital Identity, Financial Crime & Compliance, and IT Security, featuring engaging industry news and expert insights.

Vietnam’s VNPT Processes Over 600K Daily KYC Checks with Top-Ranked Biometrics to Bolster Financial Security

Vietnam’s government-owned biometric authentication platform, VNPT, handles over 600,000 KYC check requests daily, with an accuracy rate among the top 15 in NIST Face Recognition Vendor Test categories. State Bank of Vietnam will mandate biometric authentication for online money transfers and e-wallet deposits exceeding 10 million Vietnamese dongs starting July 1st, with OTP verification for transactions below this threshold. (Source )

Fujitsu Returns to UK Sector with PASS Contract Amid Horizon Fallout

富士通 , despite its prior pledge not to pursue new public sector contracts in the UK due to the Horizon Post Office scandal, is set to become the business outsourcing supplier for the UK government-endorsed Proof of Age Standards Scheme (PASS). Given Fujitsu’s controversial history with the Horizon system, the decision has raised concerns, which led to the wrongful conviction of 736 Post Office branch managers for fraud. (Source )

Philippines Pushes ePhilID Use, Hits 85M Enrollments for Digital Transactions

The Philippine government is promoting digital national ID, ePhilID, as enrollments exceed 85 million, and 50 million physical IDs are already distributed. The digital ID simplifies transactions across sectors, and a collaboration between the Philippine Statistics Authority, the Department of Information and Communications Technology, and Special Adviser Frederick Go's office is working to increase its adoption and utility. The Philippine Central Bank urges financial institutions to accept all formats of the national ID for transactions, as physical ID distributions are expected to be completed by the end of 2024. (Source )

Bedrock Security Launches AI-Driven Data Protection Platform with $10M Seed Funding

Bedrock Security has raised $10 million in seed funding led by Greylock with the launch of its frictionless data security platform featuring an AI Reasoning Engine. The engine automatically assesses new data’s importance and enhances data security, especially for organizations using generative AI models. The platform aims to redefine data security by providing comprehensive visibility and enabling automated risk analysis to safeguard intellectual property and regulated data. (Source )

Visa and Mastercard Settle Historic Antitrust Suit, Offer Fee Relief to Merchants

Visa and 萬事達卡 settled a lawsuit with US merchants about reducing and capping credit and debit card fees. The settlement includes a temporary fee reduction until 2030, potentially saving $30 billion. Though some merchants welcome the settlement, others remain skeptical due to ongoing concerns about swipe fees. A separate financial settlement in 2023 between Visa, Mastercard, and millions of businesses further highlights ongoing concerns in the payment processing industry. (Source )

OneNotary Secures $5 Million in Series A Funding to Enhance Online Verification Services and Partners with DocuSign

OneNotary has announced the successful closure of a $5 million Series A funding round led by Jackson Square Ventures with participation from notable figures and firms, including DocuSign Founder Tom Gonser. This infusion of capital aims to boost OneNotary’s marketing, sales, partnership efforts, and product development to cater to the increasing demand for online verification services. Additionally, OneNotary has formed a strategic partnership with DocuSign, intending to integrate its services into DocuSign’s notary solutions, providing DocuSign customers access to a premier third-party notary network. (Source )

Cyera Set to Triple Valuation to $1.5 Billion with $300 Million AI-Focused Cybersecurity Funding Round

Cyera , a cybersecurity startup focused on AI-enhanced data protection tools, is nearing the completion of a significant funding round, poised to raise nearly $300 million and triple its valuation to $1.5 billion. Led by Coatue with participation from Accel, this funding underscores the increasing recognition of AI as both an opportunity and a challenge in cybersecurity. Originating from San Mateo and with Israeli roots, Cyera has previously garnered $160 million in funding, establishing itself in data classification, posture management, detection and response, and access governance across various industries. (Source )

GSS Secures $47 Million to Enhance Sanctions Compliance for Financial Institutions Amid Global Tensions

GSS - Global Screening Services (GSS) has raised $47 million to assist financial institutions in adhering to global sanctions through its regulatory compliance platform. The platform simplifies the process of monitoring and reporting transactions that may violate international sanctions by analyzing transaction data against a comprehensive and enriched set of global sanctions lists. GSS aims to become fully operational and launch its services for initial clients with the latest funding round. (Source )

Signicat Expands in Iceland with SmartWorks Acquisition, Enhancing Digital Identity and Fraud Prevention Services

European digital identity company Signicat has acquired Icelandic firm SmartWorks to enhance its market presence and capabilities in Iceland. The acquisition sees all SmartWorks employees integrating into Signicat, with SmartWorks’ founder becoming the country manager for Iceland at Signicat. SmartWorks brings expertise in e-signatures and anti-fraud tools to Signicat’s portfolio. This strategic move is expected to bolster Signicat's service offerings in Iceland. (Source )

Idaho Congressman Secures $2.9M for Cybersecurity Lab at Idaho State University

Idaho Congressman Mike Simpson has secured $2,875,000 in Community Project Funding for developing an Industrial Cybersecurity Research Laboratory at Idaho State University. This lab aims to position ISU as a leading institution in cybersecurity, offering students valuable opportunities to engage in this critical field through hands-on learning and research in a simulated industrial environment. (Source )

US Federal Agencies to Appoint AI Officers for Responsible Use Oversight, Following New OMB Mandate

The US federal agencies are now required to appoint a chief AI officer to oversee responsible use of AI systems. They must also create AI governance boards and submit yearly reports on usage and risks. The move expands the Biden administration's AI executive order, aiming to set safety standards and improve AI talent in government. Agencies must monitor AI systems regularly, ensure safeguards against discrimination, and ensure transparency in software deployment. (Source )

Romanian and Spanish Police Crack Down on Multimillion-Dollar Cyber-Fraud Network

Romanian and Spanish police dismantled a cyber-fraud network that swindled millions through fraudulent ads and business email compromise scams. The gang exploited victims primarily in Spain by advertising nonexistent holiday rentals, vehicles, and electronic devices and intercepting and manipulating emails to misdirect financial transactions. It was a significant achievement against cybercrime, highlighting the need for ongoing efforts to combat such sophisticated criminal networks. (Source )

Roper St. Francis Healthcare Settles for $1.5 Million Over 2020 Data Breach

Roper St. Francis Healthcare , a South Carolina-based healthcare system, has agreed to a $1.5 million settlement in a class action lawsuit for a 2020 data breach that compromised the protected health information of 89,761 patients. The breach occurred due to phishing emails, leading to unauthorized access to email accounts containing sensitive patient data. Despite allegations of negligence for not implementing adequate cybersecurity measures, Roper St. Francis Healthcare settled without admitting wrongdoing. The settlement includes reimbursement for breach-related expenses and up to one year of credit monitoring services for affected individuals. (Source )

DOJ's Antitrust Suit Challenges Apple's iPhone Dominance

The U.S. Department of Justice has filed an antitrust lawsuit against Apple, alleging that the company's iPhone ecosystem constitutes a monopoly that disadvantages consumers, developers, and competitors. The lawsuit accuses Apple of anti-competitive practices extending beyond its hardware to include services like advertising and FaceTime. This case reflects intensified efforts to regulate the power and influence of major tech companies in the digital age. (Source )

White House Alerts States to Cybersecurity Risks in Water Infrastructure, Launches Task Force

The White House has warned governors and state leaders about cybersecurity threats to the nation’s water infrastructure. In response, the EPA is setting up a 'Water Sector Cybersecurity Task Force’ to identify threats and create protective strategies. Recent incidents have involved actors linked to Iran and China. Minnesota’s wastewater treatment facilities have been enhancing their cybersecurity measures, and workshops and collaborations are being developed to safeguard public water services. (Source )

UN Adopts Resolution for Global AI Standards, Echoing U.S. Call for Safe and Ethical Development

The UN has passed a resolution to establish international standards for the safe and responsible development and use of AI. The resolution aims to create global norms that safeguard human rights, protect personal data, and ensure compliance with international laws. It reflects inputs from over 120 countries and advocates for diverse and culturally inclusive AI regulatory practices. Entities like the International Telecommunications Association and UNESCO will undertake future work on AI policy and standards. (Source )

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