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Nasdaq Embraces AI to Spearhead Financial Crime Prevention - Blockchain.News

Nasdaq Embraces AI to Spearhead Financial Crime Prevention

Zach Anderson Jan 12, 2024 14:15

Nasdaq is investing heavily in AI technology to combat financial crime, strengthening its position as a technology-driven financial services company and addressing sophisticated financial crimes.

Nasdaq Embraces AI to Spearhead Financial Crime Prevention

Nasdaq Inc. has made substantial investments in artificial intelligence (AI) technologies. As Nasdaq, which has historically been renowned as a worldwide stock exchange operator, transforms into a more diverse financial services firm, this endeavour marks a significant strategic shift for the company.

During the address that she gave at the Consumer Technology Association conference in Las Vegas, Adena Friedman, the Chief Executive Officer of Nasdaq, emphasised the company's dedication to using artificial intelligence for the purpose of preventing financial crimes. Friedman emphasised the need of employing cutting-edge technology in order to maintain a competitive advantage in this continuous battle against sophisticated financial criminals. He acknowledged the growing necessity to combat these criminals.

The anti-financial crime section of Nasdaq, which has seen growth of roughly twenty percent year-over-year, is at the vanguard of this drive. Through the use of artificial intelligence, Nasdaq intends to improve its skills in anticipating and swiftly recognising illicit behaviour, therefore significantly enhancing the integrity of the financial ecosystem. This strategy, which is powered by artificial intelligence, is not only unique but also essential in this day and age, when financial crimes are growing more complicated and more difficult to detect.

Not only does the cooperation include collaborations with Nasdaq, but it also involves ties with other exchanges, brokerage companies, and banks. It is anticipated that these businesses would make use of the software provided by Nasdaq in order to identify and remove any risks, hence producing a more secure financial environment for all applicable parties.

Nasdaq has been undergoing a more comprehensive transition since 2017, and this investment in artificial intelligence is a component of that shift. By expanding outside its core exchange activities, the firm has diversified into more dependable income sources. One example of this is the purchase of Adenza, a software supplier that made a substantial contribution to Nasdaq's development into a full financial services organisation.

In addition, the incorporation of artificial intelligence into the market for financial services is reflective of a larger trend in the sector, which is that businesses are increasingly resorting to technology in order to improve their operations and provide distinctive services. This pattern is especially noticeable in fields such as biotechnology, where businesses are increasing their use of artificial intelligence in order to develop novel solutions and differentiate themselves in the market.

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