Banking and Finance Law Daily Wrap Up, FINANCIAL TECHNOLOGY—Treasury announces monthlong cybersecurity initiative, (Feb 19, 2026)
The initiative is in support of the President’s AI Action Plan announced last July.
The Treasury Department has announced the conclusion of a major public-private initiative to strengthen cybersecurity and risk management for artificial intelligence (AI) in the financial services sector. Treasury’s actions comes in response to the White House’s AI Action Plan, which was announced in July 2025. The initiative aims to help institutions—particularly small and mid-sized firms—adopt AI securely while supporting resilience and innovation across the financial system. According to the announcement, the Treasury Department’s work “advances the President’s AI Action Plan by strengthening the security of AI data, infrastructure, and models in the financial sector, promoting best practices for secure AI deployment, and driving adoption of American AI systems globally.”
The effort, carried out through the Artificial Intelligence Executive Oversight Group, brought together financial institutions and federal and state regulators to identify gaps in AI use and develop practical tools to manage AI-specific cybersecurity risks. “Together, participants focused on addressing identified gaps in the financial sector’s use of AI, developing practical tools that financial institutions can use to manage AI-specific cybersecurity risks while unleashing innovation,” according to Treasury’s announcement.
During the month of February, Treasury plans to release a series of six resources developed in partnership with industry and federal and state regulatory partners to enable secure and resilient AI across the U.S. financial system. The releases will address governance, data practices, transparency, fraud, and digital identity.
“As this Administration has made clear, it is imperative that the United States take the lead on developing innovative uses for artificial intelligence, and nowhere is that more important than in the financial sector,” said Secretary of the Treasury Scott Bessent. “This work demonstrates that government and industry can come together to support secure AI adoption that increases the resilience of our financial system.”
White House AI plan. In July 2025 the administration announced its AI action plan. The White House published “America’s AI Action Plan,” while President Trump issued three executive orders implementing elements of the plan (see Banking and Finance Law Daily, Jul. 24, 2025). The plan on artificial intelligence (AI) includes three “pillars”: innovation, infrastructure, and international diplomacy and security. The plan establishes policy goals for near-term execution by the Federal government without Congressional action. Seeking “to achieve the President’s vision of global AI dominance,” the plan says its “objective is to articulate policy recommendations that this Administration can deliver for the American people.”
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