In a recent report, the Bank for International Settlements (BIS) revealed a significant trend among central banks toward adopting generative artificial intelligence (AI) to bolster cybersecurity measures.
According to the report:
“Cyber attacks are increasing in frequency and complexity, with the financial sector being a prime target. Central banks, responsible for managing critical financial infrastructures and safeguarding confidential information, are particularly vulnerable. A 2024 report by the US Department of the Treasury emphasized the importance of generative artificial intelligence (gen AI) for enhancing cybersecurity in the financial sector.”
The BIS, consisting of 63 central banks and monetary authorities, surveyed 32 members and found that 71% are already utilizing generative AI, with an additional 26% planning to integrate such tools within the next one to two years.
Generative AI has garnered praise for its efficacy in detecting cyber threats, surpassing traditional methods. It has notably enhanced response times to cyberattacks and aided in identifying suspicious trends and anomalies. Despite these benefits, central banks express concerns over the costs associated with implementing generative AI tools.
The report highlighted central banks’ primary worries regarding social engineering, zero-day attacks, and unauthorized data disclosure.
The BIS report highlighted:
“Risks related to social engineering and zero-day attacks as well as unauthorized data disclosure are of highest concern.”
However, central banks unanimously believe that generative AI tools could eventually replace cybersecurity staff in performing routine tasks, thereby freeing up resources for other initiatives.
The BIS, in collaboration with seven central banks, including those of France, Japan, and the United States, is embarking on “Project Agora.”
This initiative aims to explore asset tokenization within the monetary system in conjunction with private financial institutions. It builds upon a unified ledger concept proposed by the BIS, which seeks to bridge tokenized commercial bank deposits with tokenized wholesale central bank money.
If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
