Now, like many regulators around the world, APRA has said that it would “continue to assess ⁠the implications of these technological advancements to ensure the ongoing safety and resilience of the financial system”.

Likewise, the Australian Securities and Investments Commission (ASIC) has said it will engage with other regulators around the world.

“ASIC engages closely with other regulators, government agencies and the financial sector to understand and respond to changing technologies,” the corporate financial regulator said, adding that financial services licensees are expected to “be on the front foot” for protecting clients and customers.

Australia is not alone in its keen interest and concern about Mythos, with some Asian financial regulators also saying they were taking action to address the risks generated by the AI model.

The Hong Kong Monetary Authority (HKMA) said it was working with major banks and is highly alert to new AI technologies and the threats they bring. It also said it was launching a new framework to address the concerns from Mythos.

The Cyber Resilience Testing Framework will look to bolster the response and recovery capabilities of banks to ensure they are ready to bounce back in the event of a cyber incident. It will also form a public-private sector taskforce to identify, study and respond to AI-powered cyber risks.

“Some banks are also assessing additional mitigation measures in response to these evolving threats,” said the HKMA.

Singapore’s Monetary Authority of Singapore (MAS), the country’s central bank, said these AI advances could speed up not only how fast vulnerabilities are identified but could also empower their exploitation.

“Financial institutions need to redouble efforts to strengthen their security defences, proactively identify and close vulnerabilities, and raise ⁠vigilance on ​cyber hygiene, including timely security patching,” it said.

MAS said it was working with the Cyber Security Agency of Singapore to assist critical infrastructure operators.