Commodity Futures Trading Commission (CFTC) Chairman Timothy Massad has recently stated that the CFTC may soon issue principles based standards that would require certain CFTC-regulated entities to conduct penetration, vulnerability, and control testing of cybersecurity systems. This warning comes on the heels of recent activity by Federal and State financial regulators, who have been taking an increasingly active role in issuing specific cybersecurity requirements for regulated financial institutions. In light of the CFTC’s current political make-up (two Democratic Commissioners who would apparently support CFTC-issued cybersecurity regulations and one Republican who may oppose them), it appears likely that we will see enhanced cybersecurity regulation of certain CFTC-regulated entities in the near term.
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