Framework
Scale-Appropriate Detection
TL;DR
Framework mapping appropriate cheater detection investment to company growth stage, from seed through Series B+.
Framework mapping appropriate cheater detection investment to company growth stage, from seed through Series B+.
When to Use Scale-Appropriate Detection
When determining how much to invest in fraud/cheater detection at your current growth stage, or when planning detection infrastructure scaling.
How to Apply
1
Seed Stage (0-10K users)
Simple rule-based flagging + manual review
Questions to Ask
- Flag users with >3 violations in 7 days?
- Flag transactions >2 std dev from normal?
Outputs
- $0 cost (piggyback on support)
- 60-70% detection rate
- 1-2 hours/week founder review
2
Series A (10K-100K users)
Automated flagging for 5-10 rules + part-time specialist
Questions to Ask
- Hire part-time Trust & Safety? ($60K/year)
- Build admin dashboard for flagged cases?
Outputs
- $100K/year investment
- 75-85% detection rate
3
Series B+ (100K+ users)
Dedicated Trust & Safety team + machine learning
Questions to Ask
- 2-3 person T&S team?
- ML for pattern detection?
Outputs
- $250-500K/year investment
- 85-95% detection rate
4
Investment Decision Criteria
Determine when to accelerate detection investment
Questions to Ask
- Could fraud destroy >10% of customer trust? (Invest now)
- High-value transactions attracting sophisticated cheaters?
- Regulatory exposure requiring compliance?
Outputs
- Investment timing decision