To enhance cybersecurity, 7% of central banks are already using generative AI, with more planning to adopt it, according to a BIS survey.
Many central banks have taken a great interest in generative artificial intelligence (AI), and the Bank for International Settlements (BIS) believes that AI has the potential to be widely used.
Comprising sixty-three central banks and monetary authorities, the BIS is an international financial institution. It polled 32 members of the central bank. They expressed interest in employing generative AI technologies for cybersecurity.
According to the report:
“Over two-thirds (71%) of respondents are already using gen AI, and 26% have plans to incorporate such tools into their operations within the next one to two years.”
For internal cybersecurity, the BIS projects that all its members will use generative AI. When compared to more conventional methods, central banks that have already adopted generative AI have praised its efficacy in identifying cyber threats.
Banks may now respond to threats more quickly thanks to generative AI technologies. They also aid in the detection of abnormalities and questionable tendencies. The expenses of putting these technologies into practice are a concern for central banks.
BIS report mentioned:
“Risks related to social engineering and zero-day attacks as well as unauthorized data disclosure are of highest concern.”
Central banks expect that generative AI will replace workers doing routine cybersecurity jobs. The BIS anticipates that this modification will “free up resources.” After that, these resources could be used for different projects.
Major economies include Australia, China, France, Belgium, Japan, and South Korea Italy, Switzerland, the United Kingdom, and India are among those central banks that are members of the BIS.
For more information about generative AI, read Cointelegraph’s overview.
Seven central banks and the BIS recently cooperated. They want to investigate the monetary system’s use of asset tokenization. Working together with commercial financial institutions is part of this project.
Participating nations include the Federal Reserve Banks of the United States, the United Kingdom, France, Japan, South Korea, Mexico, and Switzerland.
“ Project Agora” expands upon the BIS’s concept of a single ledger. This ledger connects tokenized commercial bank deposits and tokenized wholesale central money.
