Application of Deep Generative Models for Anomaly Detection in Complex Financial Transactions

This study proposes an algorithm for detecting suspicious behaviors in large payment flows based on deep generative models. By combining Generative Adversarial Networks (GAN) and Variational Autoencoders (VAE), the algorithm is designed to detect abnormal behaviors in financial transactions. First, the GAN is used to generate simulated data that approximates normal payment flows. The discriminator identifies anomalous patterns in transactions, enabling the detection of potential fraud and money laundering behaviors. Second, a VAE is introduced to model the latent distribution of payment flows, ensuring that the generated data more closely resembles real transaction features, thus improving the model's detection accuracy. The method optimizes the generative capabilities of both GAN and VAE, ensuring that the model can effectively capture suspicious behaviors even in sparse data conditions. Experimental results show that the proposed method significantly outperforms traditional machine learning algorithms and other deep learning models across various evaluation metrics, especially in detecting rare fraudulent behaviors. Furthermore, this study provides a detailed comparison of performance in recognizing different transaction patterns (such as normal, money laundering, and fraud) in large payment flows, validating the advantages of generative models in handling complex financial data.

A Deep Learning Approach to Anomaly Detection in High-Frequency Trading Data

This paper proposes an algorithm based on a staged sliding window Transformer architecture to detect abnormal behaviors in the microstructure of the foreign exchange market, focusing on high-frequency EUR/USD trading data. The method captures multi-scale temporal features through a staged sliding window, extracts global and local dependencies by combining the self-attention mechanism and weighted attention mechanism of the Transformer, and uses a classifier to identify abnormal events. Experimental results on a real high-frequency dataset containing order book depth, spread, and trading volume show that the proposed method significantly outperforms traditional machine learning (such as decision trees and random forests) and deep learning methods (such as MLP, CNN, RNN, LSTM) in terms of accuracy (0.93), F1-Score (0.91), and AUC-ROC (0.95). Ablation experiments verify the contribution of each component, and the visualization of order book depth and anomaly detection further reveals the effectiveness of the model under complex market dynamics. Despite the false positive problem, the model still provides important support for market supervision. In the future, noise processing can be optimized and extended to other markets to improve generalization and real-time performance.