The settlement between the SEC and the homeowners of the New York Stock Exchange is a major reminder of the fragility of monetary establishments’ cybersecurity frameworks and the significance of regulatory oversight.
In 2018, a subsidiary of Intercontinental Exchange Inc. (ICE), proprietor of the New York Stock Exchange (NYSE), suffered a severe cyberattack that uncovered extremely confidential data. A subsequent SEC investigation revealed that ICE had not carried out ample cybersecurity measures and that its methods had been compromised.
As a end result, ICE was pressured to pay a $10 million settlement. This case serves as a stark reminder that robust cybersecurity measures are essential for organizations that deal with such delicate monetary knowledge.
The major accountability lies with ICE, which didn’t implement strict cybersecurity protocols. According to the SEC’s findings, ICE subsidiaries had a number of vulnerabilities that ought to have been adequately addressed. This lack of preparation was a severe breach of its fiduciary obligation to guard confidential monetary data.
However, whereas the $10 million superb is critical, it raises questions on whether or not it is going to be sufficient to discourage future misconduct by main monetary establishments.
Read extra: NYSE’s $10 million alarm bell
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