The World Economic Forum has created a new consortium to strengthen cybersecurity for financial technology companies and data aggregators.
The group will produce a new framework for the assessment of cybersecurity in financial technology.
Citigroup, Zurich Insurance Group, the Depository Trust & Clearing Corporation (DTCC) and financial technology lender, Kabbage, are among the consortium’s founding members.
The launch of the consortium comes after leading cybersecurity experts identified the growing threat of cyber-attacks to financial services providers as a key concern at the World Economic Forum.
Their assessment and proposed solutions have been published in a white paper, ‘Innovation-Driven Cyber-Risk to Customer Data in Financial Services’.
The consortium will commence work immediately in consultation with the World Economic Forum’s new Global Centre for Cybersecurity in Geneva, Switzerland.
The group will develop common principles for cybersecurity assessments, guidance for implementation, a point-based scoring framework, and counsel on improving an organisation’s score.
Matthew Blake, head of the financial and monetary system initiative at the World Economic Forum, commented: “Financial technologys can only deliver on their customer experience promises if the financial system is able to manage the risks adequately.”
He added: “This consortium will offer technology companies a clear goal post and thus enable them to implement sound cybersecurity measures at the product design stage.”
Michael Bodson, president and CEO of DTCC, and a founding member of the consortium said: “Cyber-risk is the number-one threat to the financial services industry and its infrastructure, so it is critically important that we work together to share insights and drive best practice.”
Mario Greco, CEO of Zurich Insurance Group, Switzerland, and a participant in the consortium, stated: “Cyber breaches recorded by businesses have almost doubled since 2013 and the estimated cost of cybercrime is $8 trillion over the next five years.”
He added: “We expect the consortium to help adopt best cybersecurity practices and reduce the complexity of diverging cyber regulation around the world.”
