What do fraudsters often convert stolen payment card funds into?

Fraudsters typically convert stolen payment card funds into prepaid gift or debit cards due to several key factors. Prepaid cards offer a level of anonymity that enables fraudsters to use the funds without directly tying the purchases back to their identity. These cards can be purchased with cash or other discreet methods that further obscure the transaction trail, making it difficult for law enforcement to trace the stolen funds.

Additionally, prepaid gift or debit cards can be used for online and in-store purchases, transferring the stolen value into usable assets. Once the funds are converted, fraudsters can often liquidate these cards easily, either by using them to buy goods that can be sold or reloading them into other financial platforms.

In contrast, while options like cryptocurrency may provide some degree of anonymity, they can also present challenges in terms of volatility and the necessity for a cryptocurrency wallet. Physical cash is harder to obtain directly from card fraud because it usually requires a face-to-face transaction where the fraudster may be more easily identified. Converting stolen funds into stock options involves a level of sophistication and legitimate financial activity that is not typically within the capabilities or the risk appetite of most fraudsters engaged in more straightforward scams.