EU Warns Of Cyber And Crypto Risks As Digital Finance Expands

European regulators are sounding the alarm on escalating cyber threats and mounting exposure to crypto-assets as digital markets increasingly intertwine with traditional finance. The European Supervisory Authorities' latest risk report underscores an urgent need for systemic resilience, with banks and market infrastructure facing relentless ransomware and DDoS attacks—often geopolitically motivated.

The Digital Operational Resilience Act (DORA), now in force since January 2025, mandates stringent cybersecurity measures for financial institutions. Meanwhile, crypto markets under the Trump administration's pro-digital asset policies ballooned to a record €3.3 trillion capitalization, testing regulators' ability to contain contagion risks as bank-crypto linkages multiply.