According to the chief executive of J.P. Morgan’s investment and corporate banking, Daniel Pinto, governments should be taking steps to create and implement new standards for cyber security. At the same time, there’s a demand for an increased insight into the information available on cyber threats in the marketplace.
Pinto addressed the crowd at the meeting for the Institute of International Finance in Washington and suggested the global banks need to take additional steps to comply with the complicated collection of cyber security standards that differ across countries, increasing risks for everyone involved. According to Pinto, the cyber security laws that we recognise today, and the supervision that is given to banks regarding cyber security must change.
Adjusting Solutions for Global Security
Pinto addressed the fact that, currently, every country across the globe has a different standard for cyber security, even though we’re facing a significant universal problem. Unfortunately, when every country has different standards in place, we begin to place ourselves in a difficult position. Consequently, concerns are beginning to grow among financial market regulators and participants about the risks that cyber attacks might pose to the financial system.
According to credit reporting firm Equifax, a huge breach took place in the marketplace last month, exposing data on more than 140 million customers. Additionally, the U.S. Securities and Exchange Commission also suggested that their filing system had been breached.
Making Changes to the Security Standards
CEO of Barclays, Jes Staley, addressed the problem at the panel mentioned above and suggested that payment services and cyber risk were becoming a big problem for banks. The emergence of new fintech payment providers, alongside giants in the tech world like Facebook, and Amazon, are beginning to challenge major financial firms.
Today, according to Staley, all the banks are focusing heavily on the concerns around payments in the new digital world. In the future, the field of battle for financial companies may be hosted entirely online. This means that not only do modern banks need to embrace the new environment, but they also need to ensure they have a level foundation in place when it comes to things like security and protection. By globally regulating the issues around cyber attacks and security, governments may be in a position to make the world of finance a safer place.
