#FactCheck - AI Manipulated image showing Anant Ambani and Radhika Merchant dressed in golden outfits.

Introduction

As the 2024 Diwali festive season approaches, netizens eagerly embrace the spirit of celebration with online shopping, gifting, and searching for the best festive deals on online platforms. Historical web data from India shows that netizens' online activity spikes at this time as people shop online to upgrade their homes, buy unique presents for loved ones and look for services and products to make their celebrations more joyful.

However, with the increase in online transactions and digital interactions, cybercriminals take advantage of the festive rush by enticing users with fake schemes, fake coupons offering freebies, fake offers of discounted jewellery, counterfeit product sales, festival lotteries, fake lucky draws and charity appeals, malicious websites and more. Cybercrimes, especially phishing attempts, also spike in proportion to user activity and shopping trends at this time.

Hence, it becomes important for all netizens to stay alert, making sure their personal information and financial data is protected and ensure that they exercise due care and caution before clicking on any suspicious links or offers. Additionally, brands and platforms also must make strong cybersecurity a top priority to safeguard their customers and build trust.

Diwali Season and Phishing Attempts 

Last year's report from CloudSEK's research team noted an uptick in cyber threats during the Diwali period, where cybercriminals leveraged the festive mood to launch phishing, betting and crypto scams. The report revealed that phishing attempts target the e-commerce industries and seek to damage the image of reputable brands. An astounding 828 distinct domains devoted to phishing activities were found in the Facebook Ads Library by CloudSEK's investigators. The report also highlighted the use of typosquatting techniques to create phony-but-plausible domains that trick users into believing they are legitimate websites, by exploiting common typing errors or misspellings of popular domain names. As fraudsters are increasingly misusing AI and deepfake technologies to their advantage, we expect even more of these dangers to surface this year over the festive season.

CyberPeace Advisory

It is important that netizens exercise caution, especially during the festive period and follow cyber safety practices to avoid cybercrimes and phishing attempts. Some of the cyber hygiene best practices suggested by CyberPeace are as follows:

• Netizens must verify the sender’s email, address, and domain with the official site for the brand/ entity the sender claims to be affiliated with. 
• Netizens must avoid clicking links received through email, messages or shared on social media and consider visiting the official website directly. 
• Beware of urgent, time-sensitive offers pressuring immediate action. 
• Spot phishing signs like spelling errors and suspicious URLs to avoid typosquatting tactics used by cybercriminals.
• Netizens must enable two-factor authentication (2FA) for an additional layer of security.
• Have authenticated antivirus software and malware detection software installed on your devices. 
• Be wary of unsolicited festive deals, gifts and offers. 
• Stay informed on common tactics used by cybercriminals to launch phishing attacks and recognise the red flags of any phishing attempts.
• To report cybercrimes, file a complaint at cybercrime.gov.in or helpline number 1930. You can also seek assistance from the CyberPeace helpline at +91 9570000066.

References

1. https://www.outlookmoney.com/plan/financial-plan/this-diwali-beware-of-these-financial-scams
2. https://www.businesstoday.in/technology/news/story/diwali-and-pooja-domains-being-exploited-by-online-scams-see-tips-to-help-you-stay-safe-405323-2023-11-10
3. https://www.abplive.com/states/bihar/bihar-crime-news-15-cyber-fraud-arrested-in-nawada-before-diwali-2024-ann-2805088
4. https://economictimes.indiatimes.com/tech/technology/phishing-you-a-happy-diwali-ai-advancements-pave-way-for-cybercriminals/articleshow/113966675.cms?from=mdr

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Introduction

The Telecom Regulatory Authority of India (TRAI) issued a consultation paper titled “Encouraging Innovative Technologies, Services, Use Cases, and Business Models through Regulatory Sandbox in Digital Communication Sector. The paper presents a draft sandbox structure for live testing of new digital communication products or services in a regulated environment. TRAI seeks comments from stakeholders on several parts of the framework.

What is digital communication?

Digital communication is the use of internet tools such as email, social media messaging, and texting to communicate with other people or a specific audience. Even something as easy as viewing the content on this webpage qualifies as digital communication.

Aim of Paper

• Frameworks are intended to support regulators’ desire for innovation while also ensuring economic resilience and consumer protection. Considering this, the Department of Telecom (DoT) asked TRAI to offer recommendations on a regulatory sandbox framework. TRAI approaches the issue with the goal of encouraging creativity and hastening the adoption of cutting-edge digital communications technologies.
• Artificial intelligence, the Internet of Things, edge computing, and other emerging technologies are revolutionizing how we connect, communicate, and access information, driving the digital communication sector to rapidly expand. To keep up with this dynamic environment, an enabling environment for the development and deployment of novel technologies, services, use cases, and business models is required.
• The regulatory sandbox concept is becoming increasingly popular around the world as a means of encouraging innovation in a range of industries. A regulatory sandbox is a regulated environment in which businesses and innovators can test their concepts, commodities, and services while operating under changing restrictions.
• Regulatory Sandbox will benefit the telecom startup ecosystem by providing access to a real-time network environment and other data, allowing them to evaluate the reliability of new applications before releasing them to the market. Regulatory Sandbox also attempts to stimulate cross-sectoral collaboration for carrying out such testing by engaging the assistance of other ministries and departments in order to give the starting company with a single window for acquiring all clearances.

What is regulatory sandbox?

• A regulatory sandbox is a controlled regulatory environment in which new products or services are tested in real-time.
• It serves as a “safe space” for businesses because authorities may or may not allow certain relaxations for the sole purpose of testing.
• The sandbox enables the regulator, innovators, financial service providers, and clients to perform field testing in order to gather evidence on the benefits and hazards of new financial innovations, while closely monitoring and mitigating their risks.

What are the advantages of having a regulatory sandbox?

• Firstly, regulators obtain first-hand empirical evidence on the benefits and risks of emerging technologies and their implications, allowing them to form an informed opinion on the regulatory changes or new regulations that may be required to support useful innovation while mitigating the associated risks.
• Second, sandbox customers can evaluate the viability of a product without the need for a wider and more expensive roll-out. If the product appears to have a high chance of success, it may be authorized and delivered to a wider market more quickly.

Digital communication sector and Regulatory Sandbox

• Many countries’ regulatory organizations have built sandbox settings for telecom tech innovation.
• These frameworks are intended to encourage regulators’ desire for innovation while also promoting economic resilience and consumer protection.
• In this context, the Department of Telecom (DoT) had asked TRAI to give recommendations on a regulatory sandbox framework.
• Written comments on the drafting framework will be received until July 17, 2023, and counter-comments will be taken until August 1, 2023. The Authority’s goal in the digital communication industry is to foster creativity and expedite the use of emerging technologies such as artificial intelligence (AI), the Internet of Things (IoT), and edge computing. These technologies are changing the way individuals connect, engage, and access information, causing rapid changes in the industry.

Conclusion

According to TRAI, these technologies are changing how individuals connect, engage, and obtain information, resulting in significant changes in the sector.

The regulatory sandbox also wants to stimulate cross-sectoral collaboration for carrying out such testing by engaging the assistance of other ministries and departments in order to give the starting company with a single window for acquiring all clearances. The consultation paper covers some of the worldwide regulatory sandbox frameworks in use in the digital communication industry, as well as some of the frameworks in use inside the country in other sectors.

Introduction

Meta is the leader in social media platforms and has been successful in having a widespread network of users and services across global cyberspace. The corporate house has been responsible for revolutionizing messaging and connectivity since 2004. The platform has brought people closer together in terms of connectivity, however, being one of the most popular platforms is an issue as well. Popular platforms are mostly used by cyber criminals to gain unauthorised data or create chatrooms to maintain anonymity and prevent tracking. These bad actors often operate under fake names or accounts so that they are not caught. The platforms like Facebook and Instagram have been often in the headlines as portals where cybercriminals were operating and committing crimes.

To keep the data of the netizen safe and secure Paytm under first of its kind service is offering customers protection against cyber fraud through an insurance policy available for fraudulent mobile transactions up to Rs 10,000 for a premium of Rs 30. The cover ‘Paytm Payment Protect’ is provided through a group insurance policy issued by HDFC Ergo. The company said that the plan is being offered to increase the trust in digital payments, which will push up adoption.

Meta’s Cybersecurity

Meta has one of the best cyber security in the world but that diest mean that it cannot be breached. The social media giant is the most vulnerable platform in cases of data breaches as various third parties are also involved. As seen the in the case of Cambridge Analytica, a huge chunk of user data was available to influence the users in terms of elections. Meta needs to be ahead of the curve to have a safe and secure platform, for this Meta has deployed various AI and ML driven crawlers and software which work o keeping the platform safe for its users and simultaneously figure out which accounts may be used by bad actors and further removes the criminal accounts. The same is also supported by the keen participation of the user in terms of the reporting mechanism. Meta-Cyber provides visibility of all OT activities, observes continuously the PLC and SCADA for changes and configuration, and checks the authorization and its levels. Meta is also running various penetration and bug bounty programs to reduce vulnerabilities in their systems and applications, these testers are paid heavily depending upon the scope of the vulnerability they found.

‍CyberRoot Risk Investigation

Social media giant Meta has taken down over 40 accounts operated by an Indian firm CyberRoot Risk Analysis, allegedly involved in hack-for-hire services along with this Meta has taken down 900 fraudulently run accounts, these accounts are said to be operated from China by an unknown entity. CyberRoot Risk Analysis was responsible for sharing malware over the platform and used it to impersonate themselves just as their targets, i.e lawyers, doctors, entrepreneurs, and industries like – cosmetic surgery, real estate, investment firms, pharmaceutical, private equity firms, and environmental and anti-corruption activists. They would get in touch with such personalities and then share malware hidden in files which would often lead to data breaches subsequently leading to different types of cybercrimes.

Meta and its team is working tirelessly to eradicate the influence of such bad actors from their platforms, use of AI and Ml based tools have increased exponentially.

‍Paytm CyberFraud Cover

Paytm is offering customers protection against cyber fraud through an insurance policy available for fraudulent mobile transactions up to Rs 10,000 for a premium of Rs 30. The cover ‘Paytm Payment Protect’ is provided through a group insurance policy issued by HDFC Ergo. The company said that the plan is being offered to increase the trust in digital payments, which will push up adoption. The insurance cover protects transactions made through UPI across all apps and wallets. The insurance coverage has been obtained by One97 Communications, which operates under the Paytm brand.

The exponential increase in the use of digital payments during the pandemic has made more people susceptible to cyber fraud. While UPI has all the digital safeguards in place, most UPI-related frauds are undertaken by confidence tricksters who get their victims to authorise a transaction by passing collect requests as payments. There are also many fraudsters collecting payments by pretending to be merchants. These types of frauds have resulted in a loss of more than Rs 63 crores in the previous financial year. The issue of data insurance is new to India but is indeed the need of the hour, majority of netizens are unaware of the value of their data and hence remain ignorant towards data protection, such steps will result in safer data management and protection mechanisms, thus safeguarding the Indian cyberspace.

Conclusion

cyberspace is at a critical juncture in terms of data protection and privacy, with new legislation coming out on the same we can expect new and stronger policies to prevent cybercrimes and cyber-attacks. The efforts by tech giants like Meta need to gain more speed in terms of the efficiency of cyber safety of the platform and the user to make sure that the future of the platforms remains secured strongly. The concept of data insurance needs to be shared with netizens to increase awareness about the subject. The initiative by Paytm will be a monumental initiative as this will encourage more platforms and banks to commit towards coverage for cyber crimes. With the increasing cases of cybercrimes, such financial coverage has come as a light of hope and security for the netizens.