Expanded oversight for tech or a rollback? 2025 set to be big for regulators

From GenAI oversight to DORA and the CAT to off-channel communication, the last 12 months set the stage for larger regulatory conversations in 2025.

Regulators face a dilemma in financial services: How should new technologies be suitably regulated to avoid some unforeseen catastrophe or malpractice, but not so overly regulated that innovation is smothered in the cradle? It requires a delicate balancing act, especially when emerging technologies like generative AI take hold so quickly—they’re often easily misunderstood and present immense opportunities and new threats.

In the capital markets, unfettered use of AI is not an option, as there are

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