QR Code Payments Expand, But Fraud Concerns Grow

The adoption of QR code payment solutions is on the rise, with companies like DG Financial Technology (DGFT) expanding their services to large amusement facilities and public services. However, this convenience comes with increasing concerns about fraud, particularly "quishing," where malicious actors exploit QR codes to trick users into revealing sensitive information. This trend highlights a growing challenge in securing digital transactions.

• QR code payment solutions like DGFT’s "Cloud Pay" are being integrated into various sectors, including amusement parks and government facilities, to streamline cashless transactions.
• "Quishing," a form of phishing using QR codes, is a growing threat, especially on mobile devices where verification is more difficult.
• Cybercriminals are combining QR codes with other methods, such as PDFs in emails, to bypass security controls.
• New Zealand is experiencing a surge in QR fraud, partly linked to recent changes in courier and customs fee notifications, creating confusion for consumers.
• Insurers are advised to consider mobile device usage and QR code exposure in their risk assessments for commercial clients.

DG Financial Technology (DGFT), a subsidiary of Digital Garage, Inc., is at the forefront of expanding QR code payment solutions. Their "Cloud Pay Neo" service, which eliminates the need for dedicated payment terminals, is set to be implemented at AEON Fantasy’s new large-scale amusement facility, Crane Yokocho Kiwami Konan Funabashi Hanawa Inter Store, scheduled to open in mid-February 2026. This implementation aims to reduce operational burdens and enhance the customer experience through low-cost, fast cashless payments. DGFT plans to extend this service to other AEON Fantasy locations, reinforcing its commitment to supporting operational DX and contributing to a safe and convenient cashless society.

Previously, in September 2021, the DG Group introduced "Cloud Pay" to Fukuoka City, enabling cashless payments for handling fees and usage charges at various public facilities, including the Fukuoka Zoo & Botanical Garden and gymnasiums. This initiative allowed users to pay via multiple QR code options like LINE Pay, d Barai®, au PAY, Alipay, and WeChat Pay, demonstrating the versatility of unified QR code solutions.

Despite the convenience and efficiency offered by QR code payments, a significant rise in fraud, termed "quishing," is a growing concern. Cybersecurity firm Eset reports that quishing now accounts for a substantial portion of cyber threats detected in New Zealand. This method involves phishing attacks carried out through QR codes instead of traditional links. The inherent trust placed in QR codes, coupled with the difficulty of verifying destination URLs on mobile devices before scanning, makes them an effective tool for cybercriminals.

The problem is exacerbated by the fact that standard email or network-level filters may not intercept these threats, as the malicious URL is only revealed after the code is scanned. Cybercriminals are increasingly employing multi-channel attacks, combining methods like embedding QR codes within PDF attachments in emails to bypass security measures. In New Zealand, this trend has been amplified by recent changes to import parcel fees, leading to a surge in fraudulent messages mimicking legitimate courier payment notifications. This creates confusion for consumers, making them more susceptible to scams that harvest credentials and payment details.

• DGFT’s “Cloud Pay” Unified QR Code Payment Solution to Be Introduced in AEON Fantasy’s New Large-Scale
  Amusement Facility | News, 株式会社デジタルガレージ（Digital Garage, Inc.）.
• DG Group Provides “Cloud Pay,” a Unified QR Code Payment Solution, for Handling Fee and Usage Charge Payments
  at Fukuoka City Counters and Facilities | News, 株式会社デジタルガレージ（Digital Garage, Inc.）.
• Kiwi phones have become the front door for QR fraud, Insurance Business.