Board of Governors of the Federal Reserve System

Figure 1. Share of Banks Affected by Hypothetical Cyber Attack on Top 5 Bank

Figure 1 shows the distribution of the share of institutions with compromised liquidity positions under a hypothetical attack on a top-5 bank in Fedwire in 2018. The distribution of institutions with compromised liquidity in this situation, without weighting the banks by their assets, is shown in blue bars that are clustered between 0.04 and 0.12, with an average share of 6.4 percent. The distribution of institutions when the banks are weighted by their assets is shown in red bars. That distribution is higher (that is, to the right of) the blue bars, with the bulk being between 0.2 and 0.5, and an average share of 37 percent. The distribution of weighted shares when the top-5 bank assumed to be attacked is excluded, is represented by grey bars. That distribution is largely between the red and blue bars, and overlaps each. It ranges from 0.16 to 0.45, with an average of 31.

Figure 2. Estimated Loss in Netting Benefits from Hypothetical Cyber Attack on DFMU

Figure 2 shows the estimated values of failed payments on CHIPS and CLS, scaled by daily reserve balances of each member bank of each designated financial market utility. There are two columns representing the average ratio across member banks. The column for CHIPS is approximately 3, and the column for CLS is approximately 2. Solid whiskers represent the 25th percentile to 75th percentile range. For CHIPS, this range is from 2.1 to 2.8. For CLS, it is from 1.5 to 2.4. Dashed whiskers show the 1st and 99th percentile range. For CHIPS, this range is from 1.2 to 7.3. For CLS, this range is from 0.6 to 4.1.