ChainIT Launches "Provable Authority" as U.S. Generative AI-Enabled Fraud Losses Are Projected to Reach $40 Billion by 2027
New white paper introduces pre-execution authority controls for employees, owners, organizations, workflows and AI agents—before money moves
SCOTTSDALE, Ariz., Sept. 2, 2026 /PRNewswire/ -- ChainIT, a digital verification and compliance platform that helps organizations validate identities, businesses, authority and compliance status through trusted data sources and auditable workflows, today announced the release of "Provable Authority," a technical white paper introducing a pre-execution framework for determining whether a person, business, workflow or autonomous AI agent is authorized to perform one exact action before money, data, assets or contractual rights move.
Deloitte's Center for Financial Services projects that generative-AI-enabled fraud losses in the United States could reach $40 billion by 2027, up from $12.3 billion in 2023.[1] The Global Anti-Scam Alliance estimates that $442 billion was lost to scams across 42 surveyed markets during the preceding year.[2]
Financial institutions and businesses have invested heavily in authentication, transaction monitoring and fraud detection. Yet a valid login, signature or cryptographic key does not necessarily prove who granted the underlying authority, whether it remains current, what limits apply or whether the final instruction matches what was approved. The problem already affects employee wires, owner approvals, vendor payments and treasury operations. Autonomous AI magnifies the exposure by operating continuously, across systems and at machine speed.
Provable Authority addresses both the longstanding business-authority problem and the emerging agentic authority problem. The white paper introduces the ChainIT Authority Protocol and its Agent Subject Profile, connecting verified identity, organizational authority, delegated scope, sourced evidence, deterministic controls, transaction capacity and exact instruction approval. It is designed to answer a critical question before execution: Is this employee, owner, representative, workflow or AI agent currently authorized to perform this exact transaction?
"Like almost everyone, I am flooded with scam texts, emails, calls and voicemails designed to make me trust someone who may not be who they claim to be. AI can now clone voices, recreate faces and make fraudulent instructions more convincing and more difficult to detect. That is why identity alone is no longer enough," said Jeremy Blackburn, Chief Executive Officer of ChainIT. "Before money moves, organizations need to verify that the employee, owner, representative, workflow or AI agent is actually authorized to take that specific action, within defined limits, at that moment. Provable Authority is designed to help prevent the fraud people and businesses are experiencing today while establishing the controls needed for the agentic economy already emerging. I am incredibly proud of the ChainIT team for developing a practical, forward-looking solution to one of the most urgent trust and security challenges in modern commerce."
Core Technical Pillars
- Verified authority chains: ChainIT ID, ChainIT Org ID and Authority Resolution Pactvera connect the acting party to the verified person, organization, role and delegation behind the action.
- Deterministic pre-execution controls: Versioned authority policies, sourced evidence and rules-based workflows return explicit outcomes such as Allow, Step-Up, Hold, Reject or Prohibit.
- Transaction-bound authorization: A canonical transaction digest binds the payer, payee, destination, amount, currency or asset, payment rail and other material terms to approval and execution.
- Agent containment and immutable evidence: Scoped session credentials, single-use execution authorization, capacity controls, append-only Validated Data Tokens and Valitorum preserve what was authorized and what occurred.
"The technical breakthrough is the separation of authentication, delegated authority, proposal activity and final execution," said Matt Koepp, Chief Technology Officer of ChainIT. "An AI agent may evaluate information and propose an action, but deterministic controls decide whether the action is within scope, whether authority remains current, whether capacity is available, whether human approval is required and whether the exact instruction may be committed."
Financial institutions, technology companies, developers, compliance leaders and enterprise organizations can download "Provable Authority" at https://chainit.com/chainit_provable_authority_whitepaper/
About ChainIT
ChainIT provides digital identity, business verification, compliance, and auditable workflow solutions that help organizations establish trust across business relationships. ChainIT's platform supports KYB, KYC, identity verification, authority validation, beneficial ownership workflows, sanctions and watchlist screening, compliance documentation, ongoing monitoring, and immutable audit evidence through Validated Data Tokens (VDTs).
By helping organizations verify people, businesses, authority, and compliance status through trusted data sources and automated workflows, ChainIT enables customers to reduce risk, streamline onboarding, improve transparency, and make critical operational decisions based on verified and current information.
Source Notes
[1] Deloitte, "Deepfake banking and AI fraud risk."
[2] Global Anti-Scam Alliance, "Global State of Scams 2025" and "GASA Policy Agenda 2026."
SOURCE ChainIT Inc
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