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Did DORA's last update create an encryption loophole?
Unravel DORA’s encryption mandates and explore the evolving standards to ensure your company meets compliance by the 2025 deadline
It is inarguably impossible to summarize in a single article, as the rules span testing, information sharing, third-party risk management, monitoring, and incident response. However, the legislation places the burden on financial institutions to determine which third-party contractors are a legitimate ICT risk and require an ESA (European Supervisory Authority) audit. Any reasonable interpretation of DORA would argue that using a confidential computing strategy is a must, and if homomorphic encryption is off the table, then leveraging an in-house or third-party TEE is the next valid step.
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