According To A New Report From Insurance Giant Allianz, Cryptocurrency Exposure May Have A “Profound” Impact On The Risk Profile Of Financial Institutions.
Ed Williams, Global Head Of Financial Lines For Allianz Global Corporate And Special Services (Agcs), Said That Companies That Provide Cryptocurrency Services In The Form Of Trading Or Custody “Will Face The Prospect Of Potential Third-party Liability.”
Williams Said That With The Integration Of Digital Currency And Traditional Finance, Institutions Will Face Uncertainty In The Cryptocurrency Field, “Problems Surrounding Potential Asset Bubbles And Regulatory Issues,” And “Concerns About Potential Money Laundering And The Risk Of Theft Or Loss. “.
This Forms Part Of The Report’s Broader Conversation About The Proliferation Of New Technologies And Their Impact On Any Company’s Risk Profile.
Allianz Compared It To Artificial Intelligence (Ai), Robotics, And Biometrics, For Example, The Risks Faced By Financial Companies That Use It For Credit Scoring.
Marek Stanislawski, Head Of Global Cyber Underwriting At Agcs, Said: “as Every New Technology Emerges, We Are Moving The Goalposts And May Increase The Attack Surface Of Cybercriminals. For Example, Digital Currencies And Virtual Currencies Have Many Potentials. But They Also Contribute To Cybercrime, Extortion And Ransomware.”
