Coinbase is the subject of a class-action lawsuit alleging cybersecurity failures at the cryptocurrency exchange are to blame for customer accounts losing thousands of dollars in crypto, with the company not doing enough to prevent further thefts.
Technology
Posted inInternal Controls
Big bank messaging app crackdown exposes policy holes, monitoring struggles
U.S. regulators have signaled through an impending widespread enforcement sweep they are zeroing in on banker use of messaging apps to discuss business matters. The cases emphasize the need for financial services firms to enhance their monitoring and recordkeeping.
Posted inInternal Controls
Twitter whistleblower says poor cybersecurity invites breaches, manipulation
Peiter Zatko, a former cybersecurity executive at Twitter, has blown the whistle on his observations of systemic data security lapses at the company, undercounting of fake accounts, and how the social media platform could be manipulated by foreign intelligence services.
Posted inData Privacy
Snap agrees to $35M settlement in Illinois biometric data lawsuit
Social media company Snap reached a $35 million settlement in principle to resolve an Illinois class-action lawsuit alleging violations of the state’s Biometric Information Privacy Act through the collection of “facial biometric identifiers” without users’ consent.
Posted inRegulatory Enforcement
Morgan Stanley reaches $200M agreement over unauthorized electronic messages
Morgan Stanley has reached agreements in principle totaling $200 million with the SEC and CFTC to settle charges its employees used messaging platforms not approved by the financial services company.
Posted inRisk Management
IBM report: Data breach costs up, contributing to inflation
The global average cost to mitigate cybersecurity issues resulting from a data breach increased to an all-time high of $4.35 million and could be contributing to current inflation trends, according to the latest annual report from IBM.
Posted inRegulatory Enforcement
SEC touts data analytics in launching three insider trading cases
The Securities and Exchange Commission utilized data analytics to detect suspicious trading activity and form the basis of three separate insider trading cases.
Posted inFinancial Services, Regulatory Enforcement, Technology
BOA reserves $200M for enforcement over banker personal device use
Bank of America has set aside $200 million in anticipation of an enforcement action related to unauthorized use of personal devices—an area in which U.S. regulators are cracking down.
Posted inEurope
Clearview AI fined third time for GDPR violations
The Hellenic Data Protection Authority in Greece fined controversial facial image aggregator Clearview AI a record €20 million (U.S. $19.9 million) for unlawfully processing the biometric data of Greek citizens.
Posted inEthics & Culture
‘Ethical Machines’ breaks down AI ethical risk mitigation planning
It’s only a matter of time before regulators legislate how companies vet artificial intelligence. Ethicist Reid Blackman’s new book, “Ethical Machines,” advises companies on how to implement AI ethical risk mitigation strategies and avoid regulatory, legal, and reputational fallout.
