Reports from Board of Governors Federal Reserve Describe Recent Advances in Investment (The Propagation of Cyberattacks Through the Financial System: Evidence From an Actual Event): Investment

2025 SEP 24 (NewsRx) -- By a News Reporter-Staff News Editor at Tech Daily News -- Researchers detail new data in Investment. According to news reporting from Washington, District of Columbia, by NewsRx journalists, research stated, “This article quantifies the effects of a multiday cyberattack that forced offline a technology service provider (TSP) to the banking sector. The attack impaired customers’ ability to send payments through the TSP, but the business continuity plans of banks and the TSP reduced the effect by more than half.”

The news correspondents obtained a quote from the research from the Board of Governors Federal Reserve, “Large banks performed better. Through contagion, banks not directly exposed to the attack experienced a liquidity shortfall, causing them to borrow funds or tap reserves. The ability to send payments after hours helped avoid further contagion.”

According to the news reporters, the research concluded: “These results highlight the importance of preparedness by the private and official sector for cyberattacks.”

This research has been peer-reviewed.

For more information on this research see: The Propagation of Cyberattacks Through the Financial System: Evidence From an Actual Event. The Journal of Finance, 2025. The Journal of Finance can be contacted at: Wiley, 111 River St, Hoboken 07030-5774, NJ, USA.

Our news journalists report that additional information may be obtained by contacting Antonis Kotidis, Board of Governors Federal Reserve, 20TH St & Constitut Ave NW, Washington, DC 20551, United States.

The direct object identifier (DOI) for that additional information is: https://doi.org/10.1111/jofi.13475. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.

(Our reports deliver fact-based news of research and discoveries from around the world.)