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Central to the reforms will be the creation of a new Justice ID system – a single digital identity for every person who enters the prison system, tracking individuals seamlessly from arrest, through the courts, into custody and back into the community.  This will replace the shockingly outdated system where offenders can go by multiple aliases leading to confusion, unnecessary human error and offenders being let out when they should stay behind bars.

For the first time, biometric technology – such as fingerprints and facial scans - will be used on all prisoners to verify identities at key points in the system, including releases from custody. It will build on existing uses within policing, with the first phase of Justice ID rolled out this year.

From: Digital overhaul of prison system to drive down release errors – GOV.UK.

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The FPC said it had asked regulators to look into increased use of agentic AI by financial services companies, which could bring risks such as increased payment fraud and sharper moves in markets,

From: Iran war shock is intensifying risks to financial system, says BoE.

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In Jamie Dimon’s 2026 letter to JP MorganChase shareholders, he says that AI will also introduce serious new risks from deepfakes and misinformation to cybersecurity vulnerabilities, but these risks are manageable if companies, regulators and governments prepare. He goes on to say that the worst mistakes we can make are predictable: overreact at the first serious incident and regulate out important innovation or underreact and fail to learn from what went wrong.

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OpenAI has joined the FIDO Alliance Board of Directors, with the company citing the need to evolve authentication frameworks for AI agents that act autonomously on behalf of users. The move brings one of the world’s most prominent AI companies into the primary open standards body responsible for FIDO2, WebAuthn, and passkeys.

OpenAI’s arrival comes as FIDO Alliance’s push into digital credentials has accelerated, with the organization launching a dedicated working group in December 2025 to align fragmented wallet and verifiable credential ecosystems. OpenAI follows SK Telecom’s recent FIDO board appointment in February 2026, which also emphasized the expanding scope of FIDO governance as passkeys adoption grows globally.

From: OpenAI Joins FIDO Alliance Board to Work on Agent Authentication – ID Tech.

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What’s equally interesting is that the statistical work found that there’s a considerable degree of differentiation between people who own crypto and those who use it.

From: Who are the euro crypto bros?.

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But even more importantly, crypto ownership is generally a complement rather than a substitute for other investments. Crypto owners are not only much more likely than the average Eurozone citizen to have investment products, they’re a lot more likely to have a big reserve of physical cash.

From: Who are the euro crypto bros?.

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Shoppers using AI are seeking refunds and disputing credit card charges at an elevated rate, highlighting the financial risks of AI-powered shopping, according to Carlo Bruno, vice president of product at payments firm Adyen. Companies must figure out how to handle that risk before AI can reliably tackle online purchases, Bruno said.

From: AI Buying Bots Are Driving More Refunds, Risks: Adyen Executive — The Information.

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Rogue employees at the cryptocurrency exchange Kraken are threatening to release sensitive customer data unless, presumably, they are rewarded with their own stash of cryptocurrency. The breach apparently stems from the compromise of members of the customer support team.

That’s pretty bad, but in truth I’m surprised we don’t see a lot more of this kind of thing. Since we lack a digital identity infrastructure capable of supporting effective know-your-employee (KYE) processes, it’s no surprise that companies find themselves employing scammers. That’s when they are employing real people at all, of course.

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Testing and controls should, in theory, be able to prevent an agent from escaping a sandbox, or from getting access to information or networks it’s not authorized to access.

“These are all the things you have to tell [an AI agent]: I’m not granting you agency to do these things,” Rubinow said.

Sandboxes themselves are meant to be a good way to safely experiment with and test AI agents. In theory at least, they are safe, contained environments, protected from exposure to outside servers.

But in the Alibaba and Anthropic examples, the agents were running within sandboxes and broke out.

From: AI agents are going rogue. Here’s what banks can do about it | American Banker.

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As rogue AI agents cause security problems and product outages even at sophisticated companies such as Meta and Amazon, major firms such as ServiceNow as well as startups are developing new AI to monitor and stop them.

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The new AI, also known as guardian AI agents, comes in the form of a cloud application and can be laborious to set up. To use a guardian AI app, customers need to connect it to other AI agents they use—including ones developed with OpenClaw, Claude Code and Agentforce—using standard application programming interfaces or model context protocol servers that enable such connections or monitoring.

Customers must then tell the guardian app how the various AI agents they use should behave, given the agents’ tendency to stray from their original mission. For instance, a company might tell the guardian AI app to make sure that whenever an AI agent generates internal financial reports, it should always check Bloomberg when the reports reference stock prices.

If the report-making AI agent goes against that or another one of the company’s guidelines, the guardian agent can send an alert to employees to either stop the report-making agent or change the agent’s behavior the next time the same thing happens.

From: ‘Guardian’ Apps Aim to Stop AI Agents From Going Rogue — The Information.

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Just weeks after making history as the first digital asset company to gain direct access to the Federal Reserve’s payment infrastructure, cryptocurrency exchange Kraken is fighting an extortion plot fueled by rogue employees.

For the traditional banking industry, the security incident validates long-standing fears that granting Federal Reserve master accounts to uninsured crypto institutions could introduce systemic operational and cybersecurity vulnerabilities into the nation’s core financial networks.

Criminals are threatening to release videos of the exchange’s internal systems. Specifically, the videos apparently show the exchange’s internal client support systems and the customer data accessible within them, as accessed with legitimate employees’ credentials.

The breach stems from insider recruitment, as the attackers compromised members of the company’s customer support team, according to an April 13 post on social media platform X by Nick Percoco, the company’s chief security officer.

From: Kraken faces extortion threat over rogue employee breach | American Banker.

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Just weeks after making history as the first digital asset company to gain direct access to the Federal Reserve’s payment infrastructure, cryptocurrency exchange Kraken is fighting an extortion plot fueled by rogue employees.

For the traditional banking industry, the security incident validates long-standing fears that granting Federal Reserve master accounts to uninsured crypto institutions could introduce systemic operational and cybersecurity vulnerabilities into the nation’s core financial networks.

Criminals are threatening to release videos of the exchange’s internal systems. Specifically, the videos apparently show the exchange’s internal client support systems and the customer data accessible within them, as accessed with legitimate employees’ credentials.

The breach stems from insider recruitment, as the attackers compromised members of the company’s customer support team, according to an April 13 post on social media platform X by Nick Percoco, the company’s chief security officer.

From: Kraken faces extortion threat over rogue employee breach | American Banker.

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