US Banking Groups Request SEC to Repeal Cybersecurity Incident Disclosure Requirements

US banking groups, including the Securities Industry and Financial Markets Association, Bank Policy Institute, Independent Community Bankers of America, and Institute of International Bankers, have petitioned the US Securities and Exchange Commission (SEC) to repeal the regulations on cybersecurity incident disclosure requirements.

According to a report by Cointelegraph on the 26th (local time), the US banking groups stated in a letter that "disclosing cybersecurity incidents directly conflicts with confidential reporting requirements aimed at protecting critical infrastructure and warning potential victims."

The SEC's cybersecurity risk management regulations, announced in July 2023, require companies to promptly disclose cybersecurity incidents such as data breaches or hacking. However, the financial sector argues that these regulations were flawed from the start and have practical issues since implementation.

If these requirements are accepted, virtual asset companies like Coinbase, which recently experienced data breaches, could delay the public disclosure of data breaches.