In a globally expanding market, Koin, a fintech specialized in simplifying digital commerce, will invest around R$30 million to advance its anti-fraud solutions in Brazil and Latin America in 2025. Driven by the rise in digital transactions and the increasing sophistication of fraud attempts, the fintech aims to expand its portfolio and introduce new technologies to ensure increasingly secure e-commerce transactions.
“Our goal is to provide merchants with access to high-quality anti-fraud solutions, featuring functionalities such as biometrics and 3DS, an e-commerce authentication protocol that enhances transaction security and improves the shopping experience, helping prevent losses in online purchases,” explains Dieter Spangenberg, Chief Payments and Fraud Officer.
Developed to prevent fraud in e-commerce transactions and maximize sales conversion rates, Koin’s solution uses artificial intelligence and machine learning to analyze transactions in real time, identifying suspicious patterns and fraudulent behavior.
Studies indicate that, just in the first nine months of 2023, losses of R$41.4 billion were prevented in Brazil thanks to authentication and fraud prevention tools. According to the Global eCommerce Payments and Fraud Report, from 2024, merchants in Latin America spend nearly double the global average on managing payment fraud (19% vs. 11%), particularly SMEs with revenues between $50,000 and $5 million in annual e-commerce sales.
For consumers, a lack of security during online purchases also results in losses. A recent survey by Koin itself on the landscape of online scams and fraud showed that consumer vulnerability remains a threat. According to the research, 62.4% of Brazilians have already experienced at least one online scam attempt, with the majority (41.8%) occurring on shopping websites.
Therefore, advancing anti-fraud solutions is essential to simplifying transactions and providing an easier shopping experience for the brand’s partner consumers. “We are leaders in Argentina and are growing steadily in Brazil, offering essential tools to ensure consumer safety and protect businesses against financial fraud,” highlights Spangenberg.
Koin operates in Brazil, Argentina, Colombia, Mexico, Peru, Uruguay, and Chile and already serves major clients such as Decolar and Jetsmart, Nike, Frávega, Indrive, Simmons, Clickbus, and Reebok, helping to provide secure and flexible payment solutions across multiple countries.
Focus on transactions in the Koin app
Simultaneously, the fintech is betting on transactions through its own app. Since its launch just over a year ago, the app has surpassed 1.5 million downloads and is growing at a monthly transaction volume rate of over 50%. According to Lucas Iván Gonzalez, Chief Product Officer and Chief Commercial Officer of the company, “60% of Koin’s daily operations come from the app, which is increasingly used by consumers to seek credit for installment purchases at their favorite stores.”
“With the diversity of payment methods, along with the benefits provided to consumers in our app, we expect to triple our transaction volume by 2025,” highlights the executive.
In 2025, Koin aims to consolidate its BNPL (Buy Now, Pay Later) operations by expanding into more segments such as tourism, education, fashion, cosmetics, sports, and pet care. According to the fintech’s executive, the goal is to expand credit democratization to new consumer sectors in Brazil.
Through the continuous strengthening of its client portfolio, coupled with app growth and the expansion of anti-fraud solutions, Koin aims to solidify its role as a protagonist in digital financial inclusion. “Our goal is to chart a solid path to lead the anti-fraud market in Latin America and BNPL in Brazil, developing products and partnerships that bring accessibility and flexibility to businesses and consumers,” concludes Gonzalez.
