In today’s highly interconnected and technology-driven financial landscape, operational disruptions are no longer isolated events. A cyberattack, system failure, or third-party outage at one organization can quickly impact others across the entire financial ecosystem. To address this, the European Union introduced the Digital Operational Resilience Act (DORA), a regulation aimed at ensuring that all financial entities can withstand and recover from ICT related disruptions.DORA applies to a wide range of financial entities, including banks, insurers, investment firms, payment institutions, crypto-asset service providers, and even critical ICT third-party suppliers. The introduction of DORA marks a shift from a traditional cybersecurity mindset (only focused on one company) to end-to-end resilience. DORA recognizes the interdependency of financial services. Payments, transactions, and services flow across institutions, meaning that a weakness in one organization can compromise the stability of many others and the financial market system.In summary, the regulation’s main objective is to establish a harmonized set of rules across the European Union to enhance the digital operational resilience of the financial sector.
——————————————————-
Click Here For The Original Source.
