Company: BCTF
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001552781-25-000058
Chunk: 77

Company: Bancorp 34, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1
Chunk 77
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Due
to the nature of our business, we are under constant threat of an attack and could experience a significant cybersecurity event in the
future. Potential risks we could face from a cybersecurity event are discussed in “Risk Factors” above.

53

Governance

Through established
governance structures, including our problem and incident management process and incident response plan, we have processes and procedures
to help facilitate appropriate and effective oversight of cybersecurity risk. These processes and procedures enable our lines of defense
and management to review and manage cybersecurity risks, monitor threats, and provide for further escalation to executive management,
our board-level Information Security Committee, or to the full Board, as appropriate.

Role
of the Board of Directors

Our
Board of Directors plays a critical role in the oversight of risk, including risks from cybersecurity threats, and has established a
risk oversight structure that seeks to ensure that cybersecurity risks are identified, monitored, assessed, and mitigated appropriately.
Our Board of Directors oversees our cybersecurity, risk assessment, vendor management and disaster recovery and business continuity risk
management framework. The Board of Directors reviews and approves our cybersecurity, disaster recovery and business continuity risk management
framework on an annual basis.

Our
Board regularly receive reports on such matters from our Information Security committee. Our Board also meets with our internal and external
auditors, and federal and state regulators to review and discuss reports on risk, examination, and regulatory compliance matters.

The
Board has delegated the primary review of our cybersecurity, disaster recovery, risk assessment, vendor management, and business continuity
risk management framework and related policies and procedures to the Information Security Committee, which consists of senior management
members and one Board member. The committee is responsible for assisting the Board in its oversight of risk, including cybersecurity
threats, and for overseeing our cybersecurity, disaster recovery, vendor management and business continuity risk management framework.
The committee actively discusses major risk exposures, establishes risk management principles, and determines our risk appetite, and
regularly reports on their activities, and makes recommendations to, the full Board. The Information Security Committee receives regular
summary analysis reports of cybersecurity risks, threats, and incidents at their meetings. In addition, the committee is engaged, as
needed, in accordance with our Incident Response Plan and Business Continuity Plan.

 Role
of Management

Senior
management is responsible for establishing, implementing, maintaining, and testing our policies and procedures related to cybersecurity,
disaster recovery and business continuity. Reports on these matters are provided to the Information Security Committee. The committee
reports