There are many reasons why a business would want to detect anonymous IP:

Online fraud: Many hackers hide their activities behind anonymizing services like proxy servers, Tor or VPN. When these tools are used for malicious purposes, they can manipulate data and skew analytics or cause ad fraud, credit card fraud and other threats. Source https://www.ipqualityscore.com/documentation/proxy-detection-api/overview

Privacy: Some users prefer to keep their location private for various reasons, including avoiding advertising or other content they don’t want to see. They can also use these tools to bypass geographic restrictions or access region-locked content.

E-commerce: Providing a secure, authentic user experience is critical for e-commerce platforms, especially when dealing with high-risk transactions and ensuring accurate customer data. This API provides a powerful solution to ensure that customers’ IP addresses are not associated with proxies or VPNs, as well as whether they show a history of spammy behavior or attacks.

Anonymous Traffic Detection API: Safeguard Against Suspicious Online Activity

The API is a geolocation API with added security and threat detection modules that provide developers with detailed information about the suspicious nature of an anonymous IP address, such as Autonomous System Number (AS) Number and organization details. Combined with the API’s robust threat detection methods, this enables companies to improve their risk posture by identifying potential threats and mitigating risks in real-time by blocking dangerous ranges or preventing traffic from IPs associated with known malicious networks. This can include blocking hosting proxies or denying access to those that are associated with a known VPN provider.