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Governments should consider implementing a fraud bounty program offering 10% rewards on all detected fraudulent activities involving federal funds. This approach mirrors the proven security model that tech companies and crypto platforms use when they offer bug bounty programs to ethical hackers and security researchers.
The logic is straightforward: financial incentives motivate skilled individuals to actively hunt for vulnerabilities and fraudulent schemes rather than passively waiting for them to surface. By crowdsourcing fraud detection through monetary rewards, public institutions could tap into a broader pool of vigilant participants while creating an efficient detection mechanism.
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