As markets continue to expand on a global scale, more and more companies need to protect their investments. But with worldwide commerce expansion, the reality is that protecting online information is more and more challenging every day.

Keeping Ecommerce, GameTech, and FinTech websites secure, for instance, requires staying one step ahead of malicious traffic.

This task is even more difficult since fraudulent users typically mask their identities. The result is that malicious traffic seems to have the upper hand… if it weren’t for privacy detection data.

Hidden identities: What does that mean?

Anonymous users often hide their identities using these common methods. It’s also important to note that this list isn’t meant to be an exhaustive explanation. Rather, it’s a brief synopsis of the toolkits many fraudulent visitors use.

Virtual Private Networks

VPNs loan users a temporary IP address while encrypting their real location details. The result is that websites or ISPs can’t track identities or geolocation data.

What does this mean for malicious traffic? For one, scammers go undetected, and they gather information without alerting website owners. VPN users also try to outsmart online streaming policies that reserve content for certain territories or countries. In fact, that’s why services such as Hulu want to block VPN traffic to protect their bottom line.

That being said, VPNs aren’t all bad. They can also protect IPs from hackers who break into networks and take over devices using network connections. In short, VPNs can be used for good or bad depending on users’ intentions.

Tor Usage

Another source of anonymous traffic is Tor usage. Tor users can effectively conceal geolocation information and usage from those who conduct traffic analysis. This free and open-source software can then be used to hack into networks, conduct cyber attacks, and even take over websites.

How does it work? Tor is a traffic relay system run by thousands of volunteers around the world. And while this software may slow down browsing speeds, it also protects anonymity better than VPNs.

Interestingly, this anonymous communication system was originally created by the US Navy. But in recent years, it has attracted more and more fraudulent activity.

Proxies

Proxies work much like VPNs. On the bright side, these servers can be set up as firewalls or web filters, protecting individual devices. However, like the examples listed above, they’re also used for fraudulent activity.

A user in Brazil, for instance, can hide their true geolocation information by using a proxy located in France or some other place. And since the data will be coming from a third party, websites won’t be able to track IP addresses.

Connection via hosting provider

Hosting providers, such as Bluehost or GoDaddy, have adequate servers and connectivity necessary for hosting websites and allowing domains to go live on the Internet.

However, just like all the other examples above, there’s another side to the story. Some providers, while legitimate, turn a blind eye to nefarious activity. As a result, criminals can anonymize their activities whether that be malware storage, ransomware, botnet command, and control centers.

How the Privacy Detection API works

The good news is that companies can stay ahead of fraudulent traffic by taking a few preventative measures. Specifically, IP address data can help companies pinpoint suspicious activity before they incur any damages.


$ curl ipinfo.io/43.241.71.120/privacy?token=$TOKEN
{
	"vpn": true,
	"proxy": false,
	"tor": false,
	"hosting": true
}

Here’s what our privacy detection data is designed to do.

  1. Filter malicious traffic
  2. Block bots and spammers
  3. Prevent web scraping
  4. Enforce content restrictions
  5. Flag users who mask their identity

IPinfo’s API performs Internet-wide scans, detecting nearly 10 million active VPNs. We then combine this information with data from public SOCKS and HTTP proxies, tor exit nodes, and our own IP usage type classification. The result is that we can determine which IP addresses come from hosting providers.

And since our data experts regularly monitor and improve this information, it’s never out of date. Consequently, businesses that need accurate IP address data to prevent malicious activity can rest assured that IPinfo’s data will deliver results they can trust.

How can it be used?

Our data has a lot of applications. But when it comes to privacy detection, there are a few important features to mention.

Filtering traffic

First and foremost, businesses can filter the good traffic from the bad by blocking bots and spammers. The result is that companies gain more visibility over their website traffic. Then Ecommerce or Fintech sites can maintain and improve customer experiences while also protecting themselves from fraudulent users.

Enforcing content restrictions

Our privacy detection API also helps unmask users so companies can enforce content policies. By revealing VPN or proxy statuses, our data allows businesses to protect content from these. The result is that restrictions are upheld, protecting revenue and enforcing territorial content rights in the long term.

Preventing web scraping

Web scraping harms companies by stealing content, gathering data about prices or inventory, and sometimes tying up valuable inventory in online shopping carts. In fact, Google received some heat for web scraping to promote itself over competitors such as Amazon, Yelp, and TripAdvisor.

But with accurate IP address data, businesses can protect their online investments from these attacks. IPinfo’s VPN Detection API, for instance, gives companies the ability to block proxies and requests from servers, thereby preventing web scraping.

Fighting fraud

Businesses can also protect customers from transactions fraud by unmasking anonymous users on their site. Plus, these same companies can stay ahead of spam, ransomware, viruses, and other forms of malware by tracking identities and location of site visitors. In short, IP address data is a valuable tool for preventing criminal activity on any website.

To sum all of this up, IPinfo’s Privacy Detection API helps innovators in many industries stay ahead of malicious activity. The result is a well-protected website that also safeguards investments and customers’ trust.

IPinfo is a comprehensive IP address data and API provider with flexible pricing plans to meet your business needs. We handle billions of API requests per month, serving data like IP geolocation, IP to company, IP to mobile carrier, and more. Sign up for a free account or contact our data experts to learn more.