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Consider below fraud detection flow where Digital identity is validated before order checkout/ payment.
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- Purchase : Item is selected for purchase
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-**Check Digital Identity** : Confirm the user characteristics (like **user session/ cookie, IP address, Browser fingerprint, location, device type**..etc) and calculate **Identity score** from 0.0-1.0
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- Check User Profile : Confirm the user behavior (like purchased from this category and level before?) and calculate **Profile score** from 0.0-1.0
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- AI (Artificial Intelligence) : Score overall purchase patterns ( say basket comparison) and calculate **AI score** from 0.0-1.0
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- Add to cart : Add the selected item in to the cart
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Calculate the transaction fraud/ risk score from above identity score, profile score and AI score.
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If the **fraud/ risk score is high**, the customer is sent through a **challenge flow** to provide additional authentication. Challenges typically include a one-time password sent via text, email, or biometric scan.
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