Financial Risk Management in Digital‑Only Banks: Addressing Fraud and Cybersecurity Threats in a Cashless Economy
This study analyzes financial risk management in digital‑only banking using quantitative methods. Phishing (35%) and ransomware (20%) cause major financial losses. Basel III compliance reduces fraud risks, while AI‑driven fraud monitoring has inefficiencies. Regulatory enforcement improves fraud prevention by 1.90%, highlighting the need for stronger cybersecurity and regulatory measures.