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How Honeygain Makes the Internet a Safer Place: Detection of Advertising Fraud

Updated: Feb 2

Did you know that hackers and fraudsters use various schemes to fake ad traffic? As a result, a vast number of ads are never seen by real people! 😱

fake ads detector Honeygain

Let’s say, you wish to place your ad through the marketing agency - the goal is to reach people from all over the world and show it to specific demographics. If you are new to it, you might not know that the same ad placement cost might vary according to location. Here, even without knowing, you could face Ad fraud (also known as Invalid Traffic), or like some people in internet advertising refer to it as ‘Fake ads’.

Fake advertisement, is it real?


Every year ad fraud costs more than 8 billion USD, according to a study by the Interactive Ad Bureau.

Imagine, this amount of loss (once again - 8 billion USD!) only benefits a very small group of people (called fraudsters). Moreover, it increases prices for everyone else. Yes, exactly - everyone else! As a matter of fact, it is directly impacting price changes to many products or services in the world. Ever heard about it? Well, it is serious problem for Internet businesses.

What does ad frauds even mean?

Ad fraud definition includes all kinds of online advertising forms: banner, video, in-app ads, or even search and affiliate marketing. Fake advertisement is considered in such matters as fraudulently representing online ad impressions, clicks, conversions, and many more events related to revenue generation.

When did ad frauds start?

Actually, the first research ever about ad frauds appeared back in 1999 (called “On the security of pay-per-click and other Web advertising schemes"). Already in 2004 CFO of Google, G.Reyes, said that ad fraud is a massive threat to the internet economy.

So where are we now with ad fraud?

Integral Ad Science has shared H1 2020 report, highlighting digital media insights across 15 major digital markets. Accordingly, mentioning that ad fraud fluctuated by a couple of percentage points across all the devices and environments. Also, mentioning that mobile web video remained the safest inventory with an optimized ad fraud rate of 0.3%, while desktop display registered the highest fraud rate worldwide at 0.8%.

Basically, economies are still facing a huge impact of fake advertisements.

How to beat ad frauds?

Fraud websites become more common, and advertisers find their money wasted on ads that appear on bogus sites or appear in an incorrect format. Did you know that numerous companies use web intelligence networks to detect fraud, improve ad performance, and check advertisers’ landing pages anonymously?

For instance, by utilizing web intelligence infrastructure for Ad verification, companies can check whether their ads are running correctly, likewise, if they are placed on the right websites and appearing for the demanded location.

Honeygain’s app permits users to “lease” out their excess internet data to third-party computing applications. Ad verification requires many computing resources as ad verification companies have to comb through terabytes’ internet data to check on ads. Ad verification companies use a crowdsourced web intelligence network by Honeygain!

🆘 If you would like to use Honeygain to avoid ad frauds, contact us here

Join our crowdsourced web intelligence ⬇️

How to report false advertising?

fake ads

Ad fraud is just one area that cuts into advertising dollars, but other things like ad placement and context affect conversion rates, which is very important to online advertising matters. If you appear to notice false advertising in any matter, also could contribute to reporting it:

Google - Report and ad

How to report an ad on Youtube

How to report a fake Facebook ad

Report fake advertising UK

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Want to be a part of Honeygain? Join our crowdsourced community here ⬇️

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