The legislation addresses cybersecurity by putting the government and the private sector on the same page, sharing information about cyber-threats without imposing stifling regulations. Many financial institutions are eager to adopt voluntary standards like those passed by the House, as doing so increases consumer confidence and promotes investment. The industry needs the right information to make informed decisions to protect its online infrastructure. Government regulations run the risk of stifling the very innovation that could keep systems secure.
Unfortunately, no regulations are going to ensure that privacy leaks never happen. While we do all we can to defend against breaches, human error remains a constant. As recent weeks have shown all too clearly, even the government doesn’t have immunity from leaks — and the results can be devastating.
Still, the payments industry has a history of rapidly evolving to address security threats. As policymakers consider security measures for electronic payments, they must allow the industry the autonomy it needs to set security standards without killing the innovation that ultimately keeps us secure.
Jason Oxman is the CEO of the Electronic Transactions Association, an international trade association representing more than 500 companies worldwide.