The Chief Executive Officer (CEO) of Nina Jojer, a tech solutions company, Chukwuemeka Ujam, has called for the adoption of proactive measures within the Fintech industry to counter fraud, urging FinTech platforms to prioritise investments in architectural solutions and staff training.
Ujam, a former member of the House of Representatives, made these remarks during a panel discussion at Moonshot by TechCabal on October 12. The session, which also featured Esigie Aguele, CEO of VerifyMe, and Henry Nzekwe, a journalist at WeeTracker, aimed to address the crucial question, “How do you make your fintech fraud-proof?”
When discussing the difficulty of policy lagging behind technological advancements, he suggested that there should be a temporary halt in artificial intelligence (AI) development to allow policies to catch up, especially taking into account the widespread concerns around privacy and security.
Ujam said that in order to address issues with privacy and security, policies must be brought up to date with technological advancements, particularly in fields like artificial intelligence (AI).
“If we could pause AI development and let policy catch up, we could mitigate concerns around privacy and security issues. The regulatory framework needs to evolve in tandem with technological advancements to safeguard financial activities effectively.” Ujam stated.
He also addressed the recent patterns of fraudulent activities on FinTech platforms and pointed out the necessity for businesses to avoid compromising security for cost-effectiveness.
“People within the tech ecosystem often want to cut costs, but security should not be compromised. Investing in approved solutions and constantly assessing vulnerabilities is essential to protecting both individuals and companies from falling prey to fraudulent activities.”
Ujam warned against relying on off-the-shelf solutions that may not be fully vetted and approved, referring to a case in which people fell for a WhatsApp scam due to a lack of proper security measures.
Speaking about the significance of comprehending potential breaches, especially those involving insider information, the former lawmaker urged businesses to invest in technologies that can adapt to changing threats, highlighting the need for strong security measures and proactive identification and addressing of vulnerabilities.
He also critiqued the industry’s tendency to be reactionary rather than anticipatory, advocating for a proactive approach to identifying and addressing vulnerabilities.
Responding to a question about his top recommendation for FinTech companies, Ujam urged them to “invest more in architectural solutions and train your people to come up with solutions,” stressing the importance of staying ahead of potential threats through continuous innovation and a proactive approach to cybersecurity.
