Protecting vulnerable customers through stronger fraud controls
Guidehouse helped a cryptocurrency exchange improve investigations and fraud controls to prevent $15 million+ in fraudulent transactions.
Summary
A leading U.S. cryptocurrency exchange needed to act quickly when rising fraud activity began to threaten critical banking and payment relationships. Guidehouse helped the organization strengthen its investigative processes and rapidly deploy new controls to improve fraud detection—preventing more than $15 million in fraudulent wire transactions.
Challenge
A leading U.S. cryptocurrency exchange was experiencing a rise in wire fraud and elder financial exploitation (EFE) scams that threatened customer trust and placed important banking and payment relationships at risk. As losses and customer impacts increased, the organization faced increasing pressure to strengthen controls, improve investigations, and restore confidence among key stakeholders. But it lacked the real-time fraud detection and investigative capabilities needed to respond effectively. These challenges were compounded by a critical leadership transition within the organization’s risk team.
Approach
Guidehouse designed and implemented a comprehensive EFE program focused on identifying and stopping fraudulent wire activity. This included developing fraud models, enhancing investigative workflows, and introducing prioritized fraud risk signals to improve detection and response. We also established wire hold logic and account review processes that enabled earlier intervention on potentially fraudulent transactions.
To support the program's long-term effectiveness, we strengthened governance frameworks, enhanced fraud controls, and identified opportunities for continuous improvement. During a critical period of change, our team also supported the onboarding of new critical personnel, helping maintain operational continuity while the program evolved.
Impact
Within the first two months following implementation, the program prevented more than $15 million in fraudulent wire transactions. We also helped the organization identify and remediate more than 40 control gaps, significantly strengthening its overall fraud risk management framework.
Beyond these measurable outcomes, the work helped stabilize the fraud program, restore stakeholder confidence, and establish a stronger foundation for fraud detection, investigations, and risk management.