The utilization of proxies has become increasingly prevalent in online activity. Proxies function as intermediaries between a user’s device and the internet and can be used for several reasons, including hiding a user’ s true location and increasing privacy and security. However, proxies can also be utilized for fraudulent activities, making it crucial for businesses to comprehend their operation and how to detect them.

One way in which proxies can hide a user’s location is through IP address masking. An IP address is a unique numerical label assigned to every device connected to the internet, and can be used to identify a device’s location, as well as other information such as the device’s internet service provider. When a user connects to the internet through a proxy, their device’s IP address is replaced with the IP address of the proxy server, making it seem as though the device is in the same location as the proxy server, rather than the device’s actual location.

Another method of hiding a user’s location is through the use of virtual private networks (VPNs). VPNs are private networks that can be accessed through the internet and can be used to encrypt data and provide anonymity, as well as mask a user’s true location. When a user connects to the internet through a VPN, their device’s IP address is replaced with the IP address of the VPN server, making it appear as though the device is in the same location as the VPN server, rather than the device’s actual location.

Ad fraud solutions are available to detect proxy usage by identifying IP addresses that are being used by multiple devices. They can also detect VPN usage by identifying IP addresses that are associated with VPN providers. Additionally, businesses can use geolocation technology to determine the physical location of a device based on its IP address.

It’s important to note that while proxies and VPNs can be used for fraudulent activities, they can also be used for legitimate purposes such as privacy and security. However, it is essential for businesses to understand how they work and detect them to prevent fraudulent activities. With the appropriate tools, businesses can detect and prevent fraud while also ensuring that legitimate users can still enjoy the benefits of anonymity and privacy.