Stytch unveiled Strong CAPTCHA, the first solution in a portfolio of security technologies designed to reduce online fraud and risk. The program addresses the significant problem of CAPTCHA fraud, which harms consumers and harms the brands of online merchants, financial services providers, and other businesses.
Reed McGinley-Stempel, Co-Founder and CEO of Stytch “Today, humans only make up 38.5 percent of internet traffic. The other 61.5 percent is non-human in the form of bots, hacking tools, and so on. This incessant bot activity defrauds both users and businesses, but CAPTCHA systems are not resolving the problem due to CAPTCHA fraud. Strong CAPTCHA eliminates the public key loophole in the CAPTCHA architecture to thwart widespread CAPTCHA fraud.”
Every CAPTCHA system exposes its public key, making it simple for bots to scrape and send the public key to a “CAPTCHA-solving-as-a-service” organization, sometimes known as a CAPTCHA farm, where individuals manually solve CAPTCHA tests for bots for a living. Bots that can solve CAPTCHA difficulties can create phony accounts, and spam boards, scoop up inventory before humans, and other unpleasant repercussions.
Stytch has fully eliminated the public key site from the CAPTCHA architecture, leaving users with the same experience but making it difficult for bots to scrape and mass assault applications. Businesses can use the solution to interact with legitimate customers. It also saves firms money in the form of fraud, resources, and time.
CAPTCHA fraud impacts a wide range of businesses. Bot fraud, for example, has disastrous effects for e-commerce firms. When large brands release limited edition or difficult-to-get merchandise, customers frequently utilize bots to purchase the things. They then resale them at a significantly greater price. This creates a terrible experience for legitimate customers and harms brand trust. Companies, in turn, must cope with dissatisfied clients who are unable to receive the things they require.