WASHINGTON, DC – The Better Identity Coalition, an organization focused on promoting the development and adoption of better solutions for identity verification and authentication, is pleased to announce the release of two critical new publications from the Financial Services Sector Coordinating Council (FSSCC), focused on helping to address threats to the financial services sector from Gen AI-powered attacks against identity and authentication systems.
As part of a new Treasury Department initiative to strengthen cybersecurity and risk management for artificial intelligence (AI) in the financial services sector, the Better Identity Coalition co-chaired an initiative in the FSSCC with the American Bankers Association (ABA) to convene senior executives from financial institutions, federal and state financial regulators, and security experts to create two papers. This effort was part of a broader Treasury-led Artificial Intelligence Executive Oversight Group (AIEOG) made up of industry and government leaders, created to help develop practical tools and guidance that financial institutions can use to manage AI-specific cybersecurity risks while unleashing innovation.
Mitigating AI-Powered Attacks Against Identity and Authentication identifies the top ten attack vectors that financial institutions face from Gen AI, such as deepfakes, and details specific tools those institutions can use to detect and stop those attacks.
Recommendations for Policymakers: Mitigating AI-Powered Attacks Against Digital Identity and Authentication is a companion piece that outlines the role that government needs to play to help address these attacks – outlining 20 distinct actions for policymakers and regulators, spread across four key initiatives that would help financial institutions defend against current and emerging attacks:
- Initiative 1: Prioritize the development of next-generation remote identity proofing and verification systems.
- Initiative 2: Promote and prioritize the use of strong authentication.
- Initiative 3: Coordinate with other countries and harmonize requirements.
- Initiative 4: Educate consumers and businesses about better identity and emerging identity threats.
“At a time when criminals and hostile nation-states are leveraging AI-powered deepfakes to convincingly spoof photos, videos, and voices, companies need concrete, actionable recommendations on how to address these threats to best protect consumers from identity theft and fraud,” said Jeremy Grant, Coordinator of the Better Identity Coalition. “Stopping AI-powered cybercrime and fraud starts with hardening our identity and authentication infrastructure; the FSSCC’s new publications provide both financial institutions and government a roadmap on where to get started.”
The working group that created this new guidance also included members of the Financial and Banking Information Infrastructure Committee (FBIIC), which is the government counterpart to the FSSCC. In total, more than 130 experts contributed to the two papers, which together will serve as a “playbook” for both the financial services sector and government.
Of note, the Stop Identity Fraud and Identity Theft Act of 2026 — recently introduced by Congressmen Pete Sessions (R-TX) and Bill Foster (D-IL) — specifically addresses one of the core recommendations of the FSSCC’s policy recommendations. The bill would direct the U.S. Treasury to establish a new “Identity Fraud Prevention Innovation” grant program for states, with a focus on helping to catalyze the development of digital versions of driver’s licenses and other identity credentials that can guard against deepfake attacks, and that comply with the guidelines developed by the National Institute of Standards and Technology (NIST). As noted in the FSSCC paper, “mDLs and other digital credentials rooted in public key cryptography can stand up to Gen AI attacks, but only a handful of states have progressed down this path, and others lack the resources to move forward due to unaddressed funding needs. A grant program would help states accelerate progress here.”
Both papers have been published at https://fsscc.org/AIEOG-AI-deliverables/, alongside other new FSSCC publications addressing various aspects of cyber risks to the financial services sector associated with the use of AI.
A blog on the release of the papers, A Partnership to Help Financial Services Firms Address Gen AI-Related Cyber Risks to Identity and Authentication Infrastructure has also been published at the Center for Cybersecurity Policy and Law.
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The Better Identity Coalition is an organization of leading businesses focused on developing and advancing consensus-driven, cross-sector policy initiatives that promote the development and adoption of better solutions for identity verification and authentication. The coalition was launched in February 2018 by the Center for Cybersecurity Policy and Law, a nonprofit dedicated to promoting education and collaboration with policymakers on policies related to cybersecurity.
Coalition members include Apple, Block, Capital One, CVS, Equifax, Experian, Google, iProov, JPMorgan Chase, Microsoft, Okta, Persona, Ping Identity, PNC Bank, TransUnion, US Bank and Wells Fargo.
