BIS Foresees Central Banks Widely Adopting Generative AI for Cybersecurity
Summary:
The Bank for International Settlements (BIS) anticipates wide adoption of generative AI by its member central banks for bolstering cybersecurity measures. A survey revealed that 71% are already using such AI tools and another 26% plan to implement them in the near future. The use of generative AI not only aids in detecting cyber threats but also improves response times to cyberattacks. Despite concerns about implementation costs, most banks believe that AI tools could eventually handle routine cybersecurity tasks. The BIS is also collaborating with seven central banks on "Project Agora", focused on exploring asset tokenization.
The International Bank for Settlements (BIS), an authoritative institution dealing with global finance and housing 63 central banks, has expressed its faith in the universal embrace of generative Artificial Intelligence (AI). This belief stems from a keen interest that multiple central banks have displayed in this domain. A study involving 32 of its member central banks was conducted by the BIS to analyze their inclination towards incorporating generative AI techniques for strengthening cybersecurity. According to the survey findings, 71% of the participants have already initiated the use of generative AI, with a further 26% disclosing plans to blend such mechanisms into their institutional proceedings in the next couple of years.
BIS has forecasted that every single of its member will harness the power of generative AI to bolster their cybersecurity protocols. Leading banks, which have already awakened to the potential of generative AI, have gone on record to declare its superiority in identifying cyber threats when juxtaposed against conventional mechanisms.
Furthermore, the applicability of generative AI tools has provided the added benefit of augmenting the speed of banks' response towards cyber attacks, and also served as an aid in spotting irregular trends and aberrations. Nevertheless, the expenses required for the installation of generative AI tools seem to be a prevalent worry amongst central banks.
Along with this, BIS has emphasized potential threats stemming from social engineering, zero-day attacks, and unauthorized data leakage. The consensus amongst central banks evokes the belief that generative AI tools could essentially take over the routine job functions of cybersecurity staff, thereby presenting scope for "resource liberation", i.e., reallocating resources into new avenues.
The central banks constituting the BIS include those from Australia, China, France, Belgium, Japan, South Korea, Italy, Switzerland, India, the United Kingdom, among others.
The BIS recently entered into an innovative collaborative venture called "Project Agora" with seven central banks, being France, Japan, South Korea, Mexico, Switzerland, the UK, and the Federal Reserve Banks in the US. Aimed at exploring the possibility of asset tokenization within the financial framework in partnership with private banking institutions, the project will focus on developing a unified ledger system as proposed by BIS. This will bridge the gap between tokenized commercial deposits in banks and tokenized wholesale central bank finances.
Published At
5/28/2024 11:34:33 AM
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