Identity fraud, otherwise known as identity theft, has been a significant concern for the Nigerian fintech sector, resulting in the loss of millions of naira yearly. As the Federal Government of Nigeria continues to enforce the cashless policy, interbank transactions have gotten much faster with the launch of the NIBSS Instant Payment (NIP) scheme, an infrastructure that several experts laud as being one of the world’s best.
As more people embrace digital banking and e-commerce, it is unfortunate that this has given rise to more cybercrime and identity fraud. In 10 years, Nigeria has lost $13 billion to cybercrime, and in just nine months of 2020, it lost $12 million to electronic fraud.
More than ever, there is an urgent need to curb the menace of identity fraud. Thanks to Stellas for standing up to the challenge with the launch of the “Ghost Mode” mobile application offering user-identity protection and features that complement the lifestyle of discerning customers.
But before going deep into the features, let’s get to know more about Stellas.
The Modern Way to Bank – Stellas
Led by Bukola Solomon, an executive with extensive experience in the investment banking space, Stellas microfinance bank started in 2017 to close the gap between customers’ expectations in the digital age and the traditional banking services. The company boast of providing easy access to financial services, and it soon became one of the leading financial services providers in Nigeria.
Stellas believe that everyone should have access to innovative banking, and for that, they are passionate about building banking products that protect and grow customers’ money.
In a bid to bridge the gap between traditional finance and the dynamic needs of customers in the current digital age as well as promote financial inclusion, Stellas recently launched a digital bank — to offer banking service with ease — with the “Ghost Mode” mobile application feature well as other savings and budgeting features.
The company plans to promote privacy and security in the fintech and digital banking space with the launch.
Fixing Identity Fraud Loophole with Ghost Mode
Speaking at the launching of the app in Lagos, Stellas CEO Bukola Solomon said the emergence of Stellas Digital Bank is a strategic response to many months of industry and market analyses which show that Nigeria’s Fintech space, despite observed growth, still has some niches yet un-served.
Solomon also pointed out that the company has always prioritised user experience as one of its most significant value offerings, and it brought that philosophy with its digital banking launch.
“It is upon this foundation that we have built a very intuitive mobile application with the following added features for you, our users: Ghost Mode, Automated deposits, and Budgeting tool. The “ghost mode” is a unique feature in the fintech space that prioritises user identity protection and complements the lifestyle of discerning customers.” says Solomon.
He added that — “We’ve seen several instances of people who need to make transactions but want it to remain confidential and private. With our Ghost Mode feature, you can execute confidential transactions, and more so, it serves as a security feature. We can encrypt transactions so that even if they get access to your phone or that of the recipient, your data is secure,”
In order words, Stellas plans to protect users identities when making transactions, guard against identity fraud and ensure privacy and security.
According to a business wire report, identity fraud soars to $43 billion globally, and these usually come in different forms from social media activities, emails, or credit cards. Solomon points out that transferring money to a random stranger you bought items from could be another potential loophole for identity fraud.
Solomon also reveals that all transactions with Stellas Digital Bank are fully insured by the National Deposit Insurance Commission (NDIC) and will strictly comply with anti-money laundering and anti-fraud regulations.
Also talking about the features of the app, Stellas Chief Technology Officer (CTO), Anselem Uba, accounted that the Ghost Mode allows users to transfer funds to beneficiaries or make payments anonymously.
He said the service meets the yearnings of many users who want to make payments confidentially or donate anonymously to a cause, occasion, or event and exercise a humanitarian gesture.
“The Ghost Mode feature is guaranteed to revolutionize customer experience and breed a whole new community of Anonymous Angels.
“Beyond this, the feature ultiDigital Bank customers by encrypting their transactions and isolating them from fraudsters,” Uba said.
Meanwhile, the Ghost Mode is not the only unique feature of the app – Automated Deposit and Budgeting tool is included.
According to Uba, the Automated Deposit feature of the app allows users to transfer funds from any bank account into the Stellas app without manually transferring from one bank into the other. He said this functionality saves users the rigors of deploying several apps to perform a transaction, thereby creating convenience, speed, and efficiency.
“The Budgeting tool is a helpful feature released on the Stellas app, enabling users to plan and allocate funds to monthly expenditure similar to how individuals conventionally make a list of how to disburse monthly income. One of the benefits of the budgeting tool is the ability to compare their actual spending to the budget real-time and periodically, keeping users in check on spending habits,” the CTO noted.
Currently, Stellas boasts of about 10,000 users and projected its user base to reach 200,000 within a month, says Bukola Solomon.
While this projection is intimidating, I’m sure you are curious about if and how this will be achieved as well as I do, keeping in mind that the Nigerian digital banking space is competitive with the likes of Alat by Wema bank, Kuda, Sparkle, Fairmoney, and Carbon also making waves in the industry.