The Securities and Futures Commission (SFC) has urged licensed financial firms to bolster their cybersecurity defenses against a new wave of sophisticated, AI-enabled cyber threats.
Fast-advancing artificial intelligence models are making it easier for hackers to launch large-scale phishing, social engineering, and deepfake attacks. The watchdog specifically warned internet brokers and virtual asset trading platforms to upgrade their systems to prevent the misappropriation of client assets.
The alert comes after overall cyberattack incidents in Hong Kong surged 27 percent to nearly 16,000 cases last year.
Against this backdrop, the SFC also called on firms to immediately enhance their vulnerability management, threat monitoring, and incident recovery frameworks.
Eric Yip, the SFC's executive director of intermediaries, said that senior management must shoulder the primary responsibility for gatekeeping a firm's cyber resilience. The regulator will conduct targeted reviews to assess industry preparedness and take supervisory action against those failing to manage these evolving risks.
Effie Zhang
