This study investigates whether auditors’ experiences with their clients’ cybersecurity incidents affect their subsequent audit efforts with non-breached clients and help these clients reduce cybersecurity risks. Using data from the Audit Analytics Cybersecurity database and the Privacy...

Digital exchanges, which convert funds between national currencies and cryptocurrencies, are often the victims of cybersecurity attacks. We investigate the impact of such cybersecurity breaches on bitcoin returns. Using several alternative specifications we test the hypothesis that bitcoin...

This paper is the first systematic examination of the effects of data localization laws on cybersecurity. This paper focuses on the effects of “hard” data localization, where transfer of data is prohibited to other countries. Other “softer” versions of data localization also exist, such...

The increasing rate at which IoT technologies are being developed has enabled smarter and innovative solutions in the sectors of health, energy, transportation, etc. Unfortunately, some inherent characteristics of these technologies are compromised to attack. Naturally, risk analysis emerges, as...

Using novel measures of cybersecurity risk, we document that low cybersecurity risk firms are more likely to be involved in M&A transactions. Mergers are significantly less likely to be withdrawn if the target has a low cybersecurity risk profile. Merger premium are higher for mergers involving...

Using textual analysis and comparing cybersecurity-risk disclosures of firms that were hacked to others that were not, we propose a novel firm-level measure of cybersecurity risk for all US-listed firms. We then examine whether cybersecurity risk is priced in the cross-section of stock returns....

The article substantiates the existence of convergence processes in the field of digitization of countries, taking into account the number of Internet users; people with advanced skills; and indicators of infrastructure (network coverage, population covered by at least a 3G mobile network,...