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Recent Editions
Risk Channel
North America
The House Select Committee on China has raised concerns about online investing platform WeBull, after internal messages from 2021 suggested that an employee, Zhenghan Wang, may have accessed U.S. customer data while in China. The committee's Oct. 7 report indicated that Webull is "tied in structural ways" to China's government, posing a national security threat to American finance. Despite Webull's claims that sensitive data is restricted to U.S.-based employees, the messages indicate otherwise. "All the evidence in these text messages points to Zhenghan Wang being located in China with access to U.S. customer data," a spokesperson for the committee said. Webull's shares fell over 19% following the report, and the company has since defended its data protection practices, asserting that U.S. customer data is stored solely in the U.S. and managed by U.S.-based personnel.
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Risk Channel
UK/Europe
Katharine Braddick, chief executive of the UK's Prudential Regulation Authority (PRA), has launched a regulatory overhaul aimed at saving £2bn for UK financial firms over the next decade. She has outlined four priorities: resilience, growth, innovation, and transparency. Reforms developed alongside the Financial Conduct Authority include scrapping the certification regime, removing annual assessment requirements for around 139,000 non-senior staff, and replacing pre-approval requirements for non-executive senior roles with a simpler notification process. Mandatory pre-approval will remain for core executive leaders. Braddick, who serves as one of the Bank of England’s four deputy governors, said the PRA would consider how its rules affect the investment environment, capital availability and the cost of financial services. A new unit will also focus on operational and cyber resilience, as concerns grow over cyber threats and the risks posed by AI.
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