The startup will collect breached data directly from the companies that were hit, then allowing banks and other potential fraud magnets to see if their customers are involved and have accounts more likely to be targeted.
The idea behind what is being dubbed the Compromised Identity Exchange is to charge those most likely to be hit with follow-on fraud for access to information that reduces their risk.
Companies that have been breached will not pay anything to hand over the data that was stolen and they can feel that they have done more than most to protect their customers or employees by heading off future fraud that might affect them.
Due to heavy security on the data, XOR says the system may also allow breached companies to share the sensitive information without changing their privacy policies or waiting for the people exposed to opt in, as they must for credit monitoring.
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