AI is redefining identity verification, making it faster, smarter, and more secure. By combining biometrics, real-time risk analysis, and machine learning, it’s helping businesses protect users, boost conversions, and stay ahead of sophisticated fraud.
The MRC predicts AI-enabled scams could cost the U.S. $40 billion by 2027. With fraud growing more sophisticated, AI is powering the next generation of digital defense, and becoming the cornerstone of a new trust stack built on face authentication, behavioral analytics, and real-time decisioning.
The role of Identity verification has evolved. It’s about trust, access, and performance. But with the rise of deepfakes and AI-enabled scams, traditional verification tools can’t keep up. Businesses need smarter, more resilient ways to confirm who users really are.
This article explains how AI is reshaping identity verification, and why it matters for performance, trust, and user experience.
When security fails, so does performance
Fraud is evolving, and so is user behavior. Consumers are more aware of the risks – deepfakes, scams, account takeovers – and less forgiving when things go wrong.
Our Trust in the Digital Economy report, based on insights from 18,000 consumers, reveals the growing concern around digital safety:
- Nearly half of the respondents say deepfakes are a serious personal safety concern
- 40% have experienced payment fraud linked to hacking, scams, or theft
- And 40% would abandon a cart over security concerns
Trust is fragile. Once it’s broken, after a failed payment, a blocked login, or a compromised account, it’s hard to win back. Identity verification is a critical checkpoint in the user journey, one that must feel secure and smart. Businesses need adaptive, AI-powered solutions built for the threats, and expectations, of today’s digital economy.
AI transforms what identity verification can do
AI changes what’s possible in identity verification. Traditional systems rely on fixed inputs including passwords, documents, and SMS codes. But can be bypassed, hard to scale, and create friction for users.
AI powers intelligent, adaptive verification by analyzing biometric data, detecting fraud patterns in real-time, and making smart decisions in milliseconds. It verifies not just what someone inputs, but who they are and how they behave.
Introducing Face Authentication: Built for performance
Checkout.com’s Face Authentication is an AI-powered biometric solution that allows returning users to re-authenticate quickly and securely. It uses live video, advanced liveness detection, and machine learning to confirm a user’s identity with exceptional speed and accuracy.
The flow is simple:
- A user is prompted to capture a short video of themselves on their device. Our AI operator guides them through the process, ensuring they’re properly framed and moving as required
- The system analyzes the video in real-time, checking for liveness, comparing it against onboarding data, and confirming the user’s identity
- A result is returned to the merchant in just two seconds
It’s a smooth, password-free experience that fits naturally into sensitive moments like password recovery, account access, or transaction approval.
Behind the scenes: How it works
Face Authentication is built on a closed-loop system. The user must already have completed an identity verification flow, submitting both an ID document and a video of their face. That verified onboarding data is stored securely in compliance with GDPR.
When a user later returns and needs to re-authenticate, their new video is checked against the original. The system verifies liveness, analyses biometric data, and confirms whether the user matches the verified profile. If everything checks out, access is granted. If not, a human review can be initiated.
All of this happens in seconds, and delivers conversion rates that outperform legacy systems, especially those reliant on photos or manual checks.
Smarter, scalable security
The AI that powers Face Authentication is constantly learning. It detects new fraud patterns, adapts to changing environments, maintains accuracy across lighting conditions, connection speeds, and device types. And it does so while keeping friction low.
By using live video rather than static images, it reduces the likelihood of spoofing. And with AI-powered liveness detection, it can differentiate between a real human and a photo, mask, or deepfake – something passwords and documents simply can’t do.
This is what makes it so effective against modern threads. And so powerful as a platform-wide feature.
Rethinking identity verification for trust and inclusivity
Verifying identity should be effortless, secure, and inclusive. Docusign, the global leader in secure digital agreements, had long relied on live video identification to support Qualified Electronic Signatures (QES). This meant customers often had to wait for certified agents to verify their identity – a process that was compliant but slow. While it met regulatory requirements, the experience no longer matched the pace or expectations of today’s users.
As AI-powered verification matured, Docusign made the switch to Checkout.com’s Identity Verification solution. Crucially, the move also supported Docusign’s commitment to inclusivity. Ensuring digital ID didn’t exclude segments of the population was a key priority, especially with the EU pushing toward digital ID wallets as standard for doing business.
“We found that Identity Verification was the best solution for our needs – a partner for the highest level of trust and the utmost level of regulation. Now we are live, we are really happy with the product and partnership,” shares Maxime Hambersin, Senior Director of Product Management International at Docusign.
With its latest addition to the IDV suite, Face Authentication helps businesses integrate biometric verification directly into its payment journeys, turning a point of friction into a moment of performance. Returning users are verified in seconds using live video and AI-powered facial matching, reducing drop-off, and keeping customers in the flow.
Use it to secure high-risk actions, retrieve login details, or re-onboard employees – all while boosting conversions, upgrading security, and cutting manual work.
Contact our sales team to see how it could work for you.
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