Introducing PLM: A New Era of Intelligence for the Digital Payments Ecosystem

In today’s rapidly evolving digital payments landscape, understanding and predicting user and merchant behavior has become increasingly complex. Traditional models struggle to keep pace with the sheer volume and interconnected nature of payment data. That’s why we’re thrilled to introduce PLM (Paytm Large Model), a revolutionary foundation model poised to redefine how we understand the digital payments ecosystem.

Built on Paytm’s vast network – encompassing over 500 million customers and 30 million merchants, and constantly growing – PLM represents a paradigm shift in representing intelligence within the digital payments realm.

The Challenge: Why a Large Payment Model is Essential

Digital payment companies face significant challenges in leveraging the full potential of their data. Existing models often fall short when it comes to:

• Processing diverse and interconnected payment data from various sources.
• Capturing the nuanced behavioral patterns across millions of users, merchants, devices, and trillions of interactions.
• Scaling AI/ML solutions effectively across multiple use cases.
• Building sophisticated models with limited data in specific areas.

The Solution: A Foundation Model Built on Big Payment Data

PLM stands apart thanks to its innovative dual-architecture approach:

1. Rich Embeddings: PLM generates sophisticated numerical representations (embeddings) of merchants, users, devices, and agents by processing:
   • Transaction patterns
   • User demographics and historical behaviors
   • Merchant business profiles and sales patterns
   • App interaction and usage patterns
2. Generative Intelligence: Going beyond embeddings, PLM provides contextual insights and predictions based on a deep understanding of these complex patterns.

This versatile architecture allows for immediate deployment across critical financial applications, including:

• Fraud Detection: Leveraging behavioral embeddings for real-time anomaly detection.
• Smart Campaigning: Targeting users based on nuanced behavioral patterns.
• Loan Underwriting: Making informed lending decisions using comprehensive payment behavior.
• Merchant/User Analytics: Enabling deep segmentation and behavior prediction.

Adaptability is Key: Empowering the Entire Payment Ecosystem

The true power of PLM lies in its adaptability. Any digital payment company can benefit in two ways:

• Directly Utilize Embeddings: Leverage the pre-trained embeddings of merchants and users.
• Fine-tune on Local Data: Refine the model on your own raw data while maintaining data sovereignty through local deployment. This is like teaching the model your company’s “payment dialect” while it already understands the universal “payment language” from our vast ecosystem.

By integrating PLM into your systems, you’re not just implementing another model – you’re tapping into a deep understanding of payment ecosystems built from billions of interactions. Whether integrated into existing rule engines or deployed as a standalone system, PLM significantly accelerates your AI capabilities.

Real-World Impact: Measurable Improvements in Security and Trust

While the model is constantly evolving, early results show significant promise, such as demonstrating a 92% success rate in mitigating Instrument Takeover (ITO) fraud, optimizing customer experience by reducing false positives, and improving operational efficiency by handling millions of transactions daily with minimal latency.

The Benefits: Securing Transactions and Enhancing Trust

PLM strengthens the overall payment ecosystem by:

Automated monitoring systems ensure that the solution remains effective over time while aligning with business objectives.

• Continuous Performance Tracking: Monitors key metrics such as fraud detection rates, false positives, and latency.
• Proactive Model Retraining: Provides recommendations for periodic updates to address evolving fraud patterns.

Why This Matters: Building a Foundation of Trust for Digital Payments

In a world where trust is paramount in digital transactions, protecting payment instruments is crucial. PLM empowers businesses to deliver secure and seamless payment experiences, even in high-risk scenarios.

Looking Ahead: A Continuous Journey of Innovation

As fraud tactics continue to evolve, our commitment to innovation and adaptability remains unwavering. We will continuously refine our models, explore new technologies, and expand our solutions to address the ever-changing landscape of payment security.

Join us in redefining fraud prevention, safeguarding payments, protecting customers, and building a future rooted in trust and security.