The holiday season should be about joy and generosity, not scams and stolen identities.
Yet in 2024, the value of ecommerce fraud was $44.3 billion, and, according to studies, it could more than double to$107 billion by 2029, fueled in part by AI-driven schemes. In 2023, losses were estimated at $48 billion.
Behind those numbers are real people. These numbers are more than statistics; they represent real people being targeted. Last holiday season, 82 percent of U.S. adults experienced some form of fraud, from counterfeit goods and fake ads to delivery-text scams and phishing attacks. Meanwhile, apps like Venmo, Cash App, and Zelle are increasingly popular but harder to secure, and the FBI reports show that cybercrime losses reached $12.5 billion heading into the 2023 holiday season.
The harm isn’t limited to lost money. In Baltimore in 2023, an 18-year-old was killed during a Facebook Marketplace car transaction gone wrong In Lancaster, Pa., another Marketplace deal ended in a teen’s death, with the suspect facing life in prison. In Chicago, police have linked at least 19 robberies to meetups arranged through online marketplaces. These tragedies underscore the need for safer, more transparent methods to buy, sell and trade online.
There’s no single solution, but several promising approaches. Stronger identity verification, AI-assisted fraud detection, secure escrow and payment systems, and public–private cooperation can all make a difference. Tools like APPROVD are currently the only platform designed to help people protect themselves from peer-to-peer e-commerce fraud by requiring verified identities, bank-grade security and AI-assisted risk alerts.
Other emerging solutions address different parts of the problem. Payment processors are integrating AI-driven anomaly detection to flag suspicious transactions in real time. Marketplace platforms are introducing verified-badge systems and secure meet-up locations in partnership with local law enforcement.
Banks and fintechs are testing stronger authentication methods, including device fingerprinting and behavioral biometrics, to make unauthorized access more difficult. Together, these efforts point toward a future where online transactions can be seamless and secure, built on trust rather than risk.
Ultimately, safety must become as integral to online commerce as convenience. Consumers can take a proactive approach by verifying buyers and sellers, avoiding off-platform payments, and reporting any suspicious activity. Retailers, payment processors, and tech companies must continually evolve their security measures, and regulators can help establish consistent standards for verification and dispute resolution.
The holidays should bring people together, not drive them apart through fear or loss. As we embrace technology, we also bear the responsibility to make it safe. The tools are already within reach; what’s needed now is the will to use them.
