TikTok Ramps Up Fraud Protection as In-App Shopping Growth Continues

TikTok is strengthening its intellectual property protection measures to build consumer trust and boost its growing e-commerce operations, removing millions of counterfeit products before they reach consumers. The platform generated approximately $130 billion in gross merchandise value (GMV) outside of mainland China in 2025, doubling its in-app sales compared to the previous year.

Security and user trust have become critical priorities as TikTok attempts to replicate the shopping success of its Chinese counterpart Douyin, which generated around $500 billion in GMV in 2025. The company's expanded fraud protection initiatives aim to transform Western consumers' shopping behaviors, encouraging more in-stream purchases. Businesses looking to capitalize on this trend should consider implementing effective TikTok marketing strategies that align with the platform's enhanced security focus.

Fighting counterfeit products and intellectual property theft

TikTok's recently released Intellectual Property Removal Request report highlights significant progress in proactive fraud prevention. Between January and June 2025, the platform removed 30 times more potentially infringing products and content through proactive measures before they appeared on the platform than were removed after being reported.

"We care deeply about championing originality. We continually strengthen how we protect intellectual property rights so that our community can have authentic experiences on TikTok," the company stated in its report.

These efforts have resulted in:

• Removal of over 143 million videos violating Community Guidelines by "trading, marketing, or providing access to counterfeit goods"
• Removal of more than 530,000 videos and live-streams from TikTok Shop creators due to intellectual property rights infringement
• An 89% accuracy rate in TikTok's original determinations of intellectual property violations

The platform has also streamlined its reporting process, reducing the steps needed to report intellectual property infringement on TikTok Shop. Users registered with the Intellectual Property Protection Centre (IPPC) can now access the relevant reporting page with a single click, down from seven clicks previously.

Enhanced verification systems

Beyond removing counterfeit products, TikTok has implemented robust verification systems for sellers, requiring multiple forms of authentication before merchants can list products. This multi-layered approach mirrors strategies that have proven effective in protecting e-commerce businesses from cybersecurity threats, creating a more secure environment for both buyers and legitimate sellers.

Overcoming Western consumer hesitation

TikTok's enhanced protection measures address a significant barrier to social commerce adoption in Western markets. Unlike Chinese consumers who readily embrace in-app shopping, Western users have traditionally kept their social media and shopping activities separate, preferring established platforms like Amazon and eBay for purchases.

This hesitation stems partly from widespread online fraud concerns. According to the Global Anti-Scam Alliance, approximately 23% of adults globally have lost money to online scammers. Facebook has been frequently identified as a major channel for scam activity, creating skepticism about social platforms' ability to protect consumers during transactions.

By focusing on enhanced security and authenticity verification, TikTok hopes to overcome this trust gap. The dramatic increase in proactive removals demonstrates the platform's commitment to creating a safer shopping environment similar to the more regulated Chinese market, where stricter consumer protections have helped Douyin thrive as a shopping destination.

Consumer protection mechanisms

To further strengthen consumer confidence, TikTok has expanded its buyer protection policies, offering streamlined refund processes and dispute resolution systems. These measures are essential for addressing the online payment risks that often deter consumers from completing social commerce transactions.

The future of social commerce

TikTok's investment in fraud prevention comes at a pivotal moment for social commerce. If successful, these efforts could help establish 2026 as a breakthrough year for TikTok shopping in Western markets.

The platform's 100% year-over-year growth in GMV outside China suggests momentum is building, though it still has considerable ground to cover before reaching Douyin's level of success. The key difference may ultimately be trust – Western consumers need consistent evidence that social commerce platforms can reliably deliver authentic products and secure transactions.

These protection measures provide several benefits for TikTok users:

• Greater confidence that products purchased through the platform are authentic
• Reduced risk of financial loss through scams or counterfeit products
• Improved shopping experience with fewer fraudulent listings to navigate

TikTok's aggressive approach to fraud prevention represents a significant investment in its commercial future, recognizing that building trust is essential to changing consumer behavior around social shopping.

Emerging opportunities for brands and creators

As TikTok enhances its security infrastructure, new opportunities are emerging for legitimate brands and content creators. The platform's expanding verification systems provide a competitive advantage for authentic products, potentially reducing the market share of counterfeiters and increasing consumer willingness to purchase directly through the app.

For businesses considering social commerce expansion, TikTok's improvements in fraud protection may represent a turning point in the viability of social shopping platforms as significant sales channels in Western markets.