Cyber Resilience Testing

Definition ∞ Cyber resilience testing evaluates an organization’s ability to withstand and recover from cyberattacks. This process involves simulating realistic cyber threats and disruptions to assess the effectiveness of an entity’s cybersecurity defenses, incident response plans, and overall capacity to maintain critical operations. The goal is to identify vulnerabilities, improve recovery procedures, and ensure continuous service delivery even under severe attack conditions. For digital asset firms, this testing is crucial given the high value and immutable nature of blockchain transactions.
Context ∞ Cyber resilience testing frequently appears in news concerning regulatory requirements for financial institutions, including those involved with digital assets, to fortify their defenses against evolving cyber threats. A key discussion centers on the need for more advanced, threat-led testing methodologies that accurately reflect the sophisticated attacks targeting crypto platforms. Increased regulatory mandates for such testing will likely drive higher security standards across the digital asset industry, enhancing investor confidence.