Coordinating International Efforts Against Global Carding Networks: A Comprehensive Overview for Educational Purposes

[Student]

Carding networks are highly organized transnational groups that specialize in stealing payment card data (number, CVV, expiration date), selling it on the darknet, and using it for fraud. These networks cause billions of euros in global losses annually: according to Europol's IOCTA 2023 report, losses from payment fraud in the EU alone exceeded €10 billion. Combating them requires international coordination, as criminals operate across borders, using VPNs, cryptocurrencies, and anonymous forums. International organizations such as Europol and Interpol act as orchestrators in this process, pooling the resources of national agencies, the private sector, and experts. Below, we'll break it down step by step: from understanding the problem to practical mechanisms and case studies, with an emphasis on education.

1. What are carding networks and why is international coordination needed?​

Definition and structure of carding networks: Carding (from the English "carding" - "card fraud") includes the following stages:

• Data collection (phishing, skimming, database hacking).
• Monetization (selling "dumps" on forums like Joker's Stash or UniCC, where 1 dump costs 5-50 USD).
• Use (purchase of goods for resale, "mulling" - use of couriers).

These networks are often hierarchical: "tops" (leaders) coordinate, "whites" (buyers) test the cards, and "drops" (recipients) cash out. They are global: data is stolen in the US, sold in Russia, and used in Europe.

Borders are a problem: National laws (e.g., GDPR in the EU vs. weak regulation in some Asian countries) and jurisdictions interfere. Without coordination, the arrest of one link does not disrupt the network. International organizations address this through standardized protocols, similar to NATO for security.

The role of international organizations: Europol (focus on the EU, 27 countries + partners) and Interpol (196 countries) are key. Europol, through EC3 (European Cybercrime Centre, established in 2013), specializes in cybercrime; Interpol, on global exchange through the I-24/7 system.

2. Basic Coordination Mechanisms: How Does It Work in Practice?​

Coordination is built on a multi-layered architecture, from data exchange to field operations. Here's a detailed breakdown.

2.1. Exchange of information and intelligence​

• Technologies:
  • SIENA (Europol): A secure network for instant messaging (text, files, images). In 2023, SIENA handled over 1 million cybercrime reports. Data is encrypted, and access is role-based (analysts vs. operatives).
  • I-24/7 (Interpol): A global database with 18 million records (including "red notices"). Integrated with Europol for joint searches by IP hashes, crypto wallets, and card dumps.
• Analytics: EC3 uses AI to detect patterns (e.g., clustering transactions by geolocation). Interpol adds global context by tracking network migration (from the EU to Latin America).
• Educational aspect: It's like "information immunity"—early detection prevents 70% of attacks (Visa data). IT security students study this as an example of big data in law enforcement.

2.2 Joint Task Forces and Operations​

• Joint Operational Teams (JOTs): Temporary teams (3–6 months) with country representatives. Europol is the coordinator and provides analysts; Interpol provides global communications.
• Phases of the operation:
  1. Preparation: Gathering intel from informants and honeypots (darknet traps).
  2. Attack: Synchronized arrests (one day to avoid leaks).
  3. Post-operation: Confiscation of assets (crypto, servers) through MLAT (Mutual Legal Assistance Treaties).
• Educational aspect: It teaches the principles of the "whole-of-government" approach - the integration of the police, prosecutor's office and customs.

2.3. Partnerships with the private sector and other stakeholders​

• Fintech partnerships: Europol has Advisory Groups (e.g., for payment systems) with Visa, Mastercard, and PayPal. They share real-time fraud data (API integration), blocking cards in seconds.
• With cyber companies: Group-IB and Kaspersky provide threat intelligence. For example, they monitor 500+ darknet forums.
• Global Alliances: No More Ransom (Europol + private sector) for ransomware, but similarly for carding - awareness campaigns.
• Educational aspect: Emphasizes "public-private partnership" - 80% of cyber threats require this (data from ENISA, the EU Cybersecurity Agency).

Mechanism	Key tools	Participants	Advantages	Challenges
Data exchange	SIENA, I-24/7, AI analytics	Europol, Interpol, national agencies	Fast response (minutes), global coverage	Privacy (GDPR), false positives
Operations	JOT, synchronized raids	Police of 50+ countries, customs	Scale (hundreds of arrests at a time)	Logistics (time zones), corruption
Partnerships	Advisory Groups, API	Visa, Group-IB, banks	Real-time blocking, expertise	Trade secrets, motivation (profit vs. public good)

3. Examples of successful operations: Lessons from practice​

These cases illustrate the evolution from a focus on arrests to prevention.

• Carding Action 2020–2021 (Europol + Group-IB):
  • Context: Target: UniCC and Joker's Stash forums (turnover $1 billion/year).
  • Coordination: SIENA for dump exchange; Visa blocked 90,000+ cards.
  • Result: Arrest of 12 sellers (Italy, Hungary, UK); €54 million in losses prevented. UniCC's closure in 2022 is a direct result.
  • Lesson: Private sector integration speeds up by 50% (EC3 analysis).
• Operation Pandora-Storm (2022, Europol + Romania):
  • Context: POS terminal skimming network in 10 countries.
  • Coordination: JOT with 100+ officers; Interpol for cross-border orders.
  • Result: 44 arrests, 5,000 counterfeit cards seized, €2 million in cash.
  • Lesson: Focusing on "local links" destroys the global chain.
• Operation Takedown (2023–2024, Interpol + Europol + US ICE):
  • Context: An Asian-European network with a focus on crypto-cashout.
  • Coordination: Joint Centre in The Hague; exchange of 2000+ IP addresses.
  • Result: 150+ arrests (Malaysia, Philippines, EU); 20 forums closed.
  • Lesson: Cryptocurrency is the new frontier; blockchain analysts (like Chainalysis) are needed.
• Global Trend: In 2024, IOCTA saw a 30% increase in transactions involving AI for predictive modeling.

4. Challenges and Future Trends​

• Challenges:
  • Criminal technologies: AI-generated fake data, DeFi for laundering.
  • Geopolitics: Sanctions limit trade with some countries.
  • Resources: EC3 – 200 staff for the entire EU; shortage of experts.
• Trends:
  • AI Boost (Europol tests predictive policing).
  • Global standards (UNODC guidelines on cybercrime).
  • Education: Programs like CyberSec4Europe to train 10,000+ professionals.

Conclusion: Why is this important for education?​

Studying coordination against carding networks teaches interdisciplinary approaches: law + IT + economics. This is a model for other threats (terrorism, human trafficking). For students: read Europol's IOCTA reports (free on the website) and study case studies in cybersecurity courses. Ultimately, such coordination not only saves billions but also forms a global "digital peace treaty." If you need sources or more detailed information on a specific topic (for example, the role of AI), please inquire!