Methods and systems for authentication for high-risk communications

An authentication system, comprising:

• a communication device;
• a memory storing instructions;
• and
• one or more processors configured to execute the instructions to perform operations including:
• identifying a user request that has an assigned risk status requiring authorization;
• transmitting a notification to a user device of a user associated with the user request, the notification including a request for authentication with a cryptographic-enabled device associated with the user;
• receiving a coded sequence which was generated at least in part by the cryptographic-enabled device;
• comparing the received coded sequence and an expected coded sequence;
• updating a data security database storing user identifiers and authentication level information associated with the user identifiers to increase an authentication level associated with the user based on the comparison of the received coded sequence and the expected coded sequence;
• and
• authorizing a subsequent user request that has an assigned risk status requiring authorization based on the increased authentication level associated with the user.

An authentication method, comprising:

• receiving a request to perform an interaction from a first device of a user;
• assigning a risk status to the request by evaluating the request or by receiving a risk assessment from one or more external services;
• transmitting a notification element to the first device, the notification element being indicative of a decline of the request or a hold on the request, and prompting an authentication interaction between a cryptographic-enabled, second device of the user and a remote authentication system;
• identifying authentication interaction information generated from the authentication interaction, the authentication interaction information including a cryptographic key and a predetermined authentication identifier, the cryptographic key generated by a cryptographic-enabled reader of the remote authentication system based at least in part on the second device;
• comparing the cryptographic key in the authentication interaction information to an expected cryptographic key;
• and
• transmitting a verification communication to the first device when the cryptographic key in the authentication interaction information matches the expected cryptographic key.