FINALLY! The SEC has proposed new #cybersecurity requirements for financial market entities, broker-dealers, clearing agencies, and others, who play a significant role in US securities markets.

Read the Press Release from the SEC

Reliance on technology makes these markets vulnerable to #cybercriminals, exposing functions and sensitive data to potential risks. #InsiderThreats, #ThirdPartyRisk, and the human element are also factors to consider.

The interconnected nature of the markets raises the possibility of a widespread impact on the US securities markets, and possibly global markets, in the event of a significant incident.

For the average person, the SEC's proposed cybersecurity rules mean increased protection and security for investments. By setting cybersecurity standards for financial market entities, the objective is to prevent and mitigate the impact of cyber threats that could disrupt the markets, which, in turn, helps maintain the stability and integrity of the US securities markets and ultimately benefits individual investors and the general public.

The increased transparency around cybersecurity risks offers the public better insights into the security measures taken by market entities and hopefully fosters greater trust in the financial systems.