Innovations in Cardless Artificial Intelligence Banking: A Comprehensive Framework for Cyber Secure and Fraud Mitigation using Machine Learning Algorithms

TL;DR

This paper presents a comprehensive AI-driven framework for secure, fraud-resistant, cardless banking that leverages machine learning and cryptography to enhance cybersecurity and user convenience.

Contribution

It introduces a novel framework combining AI, cryptography, and machine learning to improve security and fraud mitigation in cardless banking systems.

Findings

Framework effectively enhances transaction security.

Virtual cards with encrypted data reduce fraud risks.

AI-based authentication improves transaction integrity.

Abstract

The advent of cardless artificial intelligence (AI) banking heralds a paradigm shift in the financial landscape, offering users unprecedented security and convenience. This paper outlines a comprehensive framework designed to enhance cybersecurity, introduce auto-generated virtual cards, and mitigate fraud risks within cardless AI banking systems. The framework envisions a future banking architecture that employs AI-powered data cryptography to create secure virtual cards for seamless transactions. By emphasizing secure communication channels, it ensures the integrity of financial activities among banking systems, cardholders, and third-party vendors. AI-based authorization methodologies play a pivotal role in authenticating each transaction while proactively identifying potential fraud, demonstrating the framework's efficacy in fortifying cardless AI banking security. The initial approach, featuring an AI-driven, feature-based banking system, ensures the generation of virtual cards with encrypted data, minimizing information exposure and reducing fraud risks. Integrating a machine learning algorithm adds an additional layer of protection against potential fraudulent activities. In conclusion, the proposed framework establishes a holistic cybersecurity and fraud-mitigation paradigm for cardless AI banking systems. Its implementation empowers financial institutions to address security concerns associated with traditional banking, paving the way for a future banking landscape that is not only fraud-resistant but also secure and convenient for users.