Xpoint Launches Fraud Detection Tool to Identify Bonus Abuse

Xpoint has introduced a new fraud detection solution for betting and gaming operators to uncover organised abuse of promotions and welcome offers. The geolocation and compliance technology provider has started deploying its proprietary pattern analysis engine with partners across North America. 

The tool is built to detect coordinated activity among groups that recycle devices, accounts and physical locations to claim sign up bonuses and exploit promotional campaigns. Unlike traditional geolocation checks that evaluate each login separately, the new engine analyses historical location data to identify behavioural patterns over time.

Historical Data Helps Operators Detect Organised Fraud Networks

According to Xpoint, the system can identify groups of users appearing together across multiple locations, especially where some participants have been linked to location spoofing.  The company believes these recurring patterns provide a stronger indication of organised fraud than isolated account reviews.

The engine performs its analysis in the background using historical data over extra verification during the customer journey. Xpoint said this approach allows operators to detect coordinated abuse without creating friction or incorrectly blocking legitimate players.

Xpoint Builds Product Offering Following Recent Investment

Chief Executive Officer Manu Gambhir said sophisticated fraud requires more complex detection tools. “Attempts to defraud operators are becoming ever more coordinated and advanced, so operators need the best possible tools to spot areas of concern early.

“Our pattern-analysis engine examines historical data to uncover unusual patterns an operator needs to be aware of, without in any way adding friction to the player journey. It further underlines our commitment to innovative, adaptable compliance solutions for operators.”

The launch follows a recent investment round that Xpoint said will support product development and strengthen its position within the compliance technology market.