Crowdfunding fraud prevention strategies for trust and platform security
Guest: Adi Raghuwanshi
Let’s break this down.
In this episode of Fraudology, I’m joined by Adi Raghuwanshi, senior director of engineering at Indiegogo, to talk about something that every marketplace and crowdfunding platform struggles with: trust.
Because when people back a crowdfunding campaign, they’re not just making a purchase. They’re placing trust in a platform, a creator, and a delivery promise that often won’t materialize for months.
And that creates a very unique fraud environment.
Crowdfunding platforms have to manage chargebacks, account takeover attempts, bot traffic, and payment fraud, all while maintaining a checkout experience that doesn’t scare legitimate backers away.
In this conversation, Adi shares how Indiegogo approached crowdfunding fraud prevention by combining behavioral monitoring, stronger onboarding controls, and an asynchronous fraud detection feedback loop that continuously improves their systems.
Here is what crowdfunding fraud prevention looks like in practice:
- strengthening onboarding fraud controls for new campaigns and users
- using behavior-based fraud detection to identify suspicious activity
- implementing proactive fraud blocking for early attack signals
- balancing conversion-friendly fraud controls with platform security
What you’ll hear in this episode
- How Indiegogo improved crowdfunding trust and safety
- Why chargeback reduction tactics are critical for crowdfunding platforms
- How user behavior tagging helps detect fraud patterns
- The role of API-based fraud detection in modern fraud systems
- Why bot traffic and proxy abuse threaten platform performance
You should listen to this episode if you
- manage fraud prevention for marketplaces or crowdfunding platforms
- build fraud detection systems for ecommerce or fintech products
- investigate account takeover prevention strategies
- want to balance fraud controls with conversion optimization
- care about platform trust and safety in digital communities
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Episode notes & key takeaways
Trust is the foundation of crowdfunding platforms
Crowdfunding platforms depend heavily on user trust. Backers contribute money to campaigns with the expectation that projects will be delivered and that the platform is protecting them from fraudulent activity.
That makes fraud prevention a critical part of maintaining platform credibility.
Operational indicators may include:
- crowdfunding trust and safety programs protecting platform users
- campaign platform risk management preventing fraudulent campaigns
- scam prevention for crowdfunding platforms improving community trust
- chargeback prevention for crowdfunding reducing financial losses
Without strong fraud controls, platforms risk losing both creators and backers.
Behavior-based fraud detection helps identify suspicious activity
One of the strategies discussed in this episode is user behavior tagging. Instead of relying solely on static risk signals, platforms can analyze how users interact with the system to identify anomalies.
Operational indicators may include:
- user behavior tagging identifying unusual account activity
- behavior-based fraud detection highlighting suspicious patterns
- suspicious transaction authentication triggered by risk signals
- proactive fraud blocking responding to abnormal behavior
Behavioral analysis allows fraud teams to detect patterns that traditional rules might miss.
APIs and feedback loops improve fraud detection accuracy
Another key takeaway from the conversation is the value of building systems that learn continuously from fraud outcomes. By creating asynchronous feedback loops, fraud signals can be refined over time as more data becomes available.
Operational indicators may include:
- asynchronous fraud feedback loop improving detection accuracy
- API-based fraud detection enabling real-time data sharing
- fraud partner insights strengthening fraud prevention models
- platform fraud performance improving through continuous learning
These systems allow platforms to evolve their defenses as fraud tactics change.
Bots and proxies create challenges for marketplace platforms
Finally, we talk about the role of automated traffic and proxy networks in enabling fraud. Bots can create fake accounts, attempt account takeovers, or manipulate platform activity in ways that distort normal behavior signals.
Operational indicators may include:
- bot traffic reduction protecting platform stability
- proxy abuse prevention limiting anonymous fraud attempts
- account takeover prevention blocking unauthorized access
- checkout fraud checks detecting suspicious payment activity
Managing these risks is essential for maintaining both platform security and a healthy user experience.
