sabine lautenschlager : euro cyber resilience board for paneuropean financial infrastructures introductory remarks by ms sabine lautenschlager, member of the executive board of the european central bank, at the third meeting of the euro cyber resilience board for paneuropean financial infrastructures, frankfurt am main, 28 june 2019. * * * it is a pleasure to welcome you back to frankfurt. as you may know, i recently became responsible for market infrastructures and payments at the ecb. as this includes the ecb ’ s work on the cyber resilience of financial market infrastructures ( fmis ), i have taken over benoit cœure ’ s chairmanship of the euro cyber resilience board for pan - european financial infrastructures ( ecrb ). i would first like to thank benoit for his contribution in establishing the ecrb and for this opportunity to continue the excellent work on cyber resilience at european level which he has personally driven forward. six months have passed since our last meeting in december, during which time, all of us – whether on behalf of a public or private financial infrastructure, a supervisor or an overseer – have been busy enhancing the cyber resilience of our respective financial infrastructures and of the financial sector as a whole. but cybercriminals have been making progress too, and they remain persistent and relentless in their pursuits. as widely reported in the press, a major cyber incident occurred at a significant bank earlier this year, seriously affecting the real economy in a specific european country. this publicly known incident reminds us of the debilitating impact a cyberattack can have on our financial system. so the need for continued vigilance, work and collaboration in this field is imperative. you will recall that – in december 2018 – the ecb published its cyber resilience oversight expectations1, a tool meant for both fmis and overseers. these expectations contain detailed best practices for implementing the cpmi - iosco cyber guidance2 and are now being followed by fmi operators at national and european level. overseers are working with their respective fmis to ensure that they do what is necessary to enhance their cyber resilience. i am also pleased that the world bank has recently embraced our cyber resilience oversight expectations with a view to boosting the cyber resilience of fmis in developing and emerging countries under its mandate, and consequently promoting global harmonisation. last year, the euros

place within seconds ; the system development and innovation within financial markets makes it possible to transact from anywhere in the world 24 hours a day, seven days a week. blockchain technology blockchain technology, another example of the recently trending phraseology, enables the ordering ( grouping ) of various transactions in an inexpensive decentralised manner by making use of a number of servers. these transactions are not only limited to near - real - time payments but can also include financial market transactions and information relating to the settlement thereof. blockchain has the ability to reduce transaction costs, as it takes away the requirement for intermediaries and is completely decentralised. bis central bankers ’ speeches blockchain is still in its infancy and while regulators and markets are still trying to get to grips with the concept of bitcoin, newer or more innovative technologies are already on our doorstep. 3. cybersecurity the developments in cyberspace are a cause of concern for regulators, financial market participants, business and informed consumers. with the interconnectedness of systems and the ease of internet access, regulators need to understand the cyber - threats that the financial system is exposed to. nearly every week one reads about the latest victim of a cyberattack, and the targets range from banking systems through consumer information held by retailers to social media facilitators and even governments. the rapid developments in technology and the cyber - world have opened the doors to a new and uncharted frontier. companies and countries alike are trying to get to grips with this latest threat and to find ways in which to mitigate the risk while protecting their information and reputation at the same time. governments, central banks, financial service providers and companies are expanding their cyber - protection capabilities. this means there is a growing demand for the limited technical skills available in this environment. the focus is, however, not only on prevention. in responding to security breaches, one has to respond with agility and speed while trying to limit the damage done and importantly to ensure continuity of service. conclusion in conclusion, i would like to revisit the idea of a “ game changer ”. a game changer can be the discovery of something as small as a molecule or the invention of something that transforms the way in which we communicate, like mobile telephony. the way in which one looks at game - changing innovations will alter the way in which one sees the world and will affect one ’ s strategies and business plans. game change