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Cybersecurity planning supports the selection of and implementation of security controls in resource-constrained settings to manage risk. Doing so requires considering adaptive adversaries with different levels of strategic sophistication…

Optimization and Control · Mathematics 2023-02-07 Eric B. DuBois , Ashley Peper , Laura A. Albert

The latest financial crisis has painfully revealed the dangers arising from a globally interconnected financial system. Conventional approaches based on the notion of the existence of equilibrium and those which rely on statistical…

Trading and Market Microstructure · Quantitative Finance 2019-12-12 V. Sasidevan , Nils Bertschinger

We study the efficacy of strategies aimed at controlling the spread of deception-based cyber-threats unfolding on online social networks. We model directed and temporal interactions between users using a family of activity-driven networks…

Physics and Society · Physics 2025-10-02 Nicolò Gozzi , Nicola Perra

A growing body of studies on systemic risk in financial markets has emphasized the key importance of taking into consideration the complex interconnections among financial institutions. Much effort has been put in modeling the contagion…

Cybersecurity risk is commonly expressed through impact and likelihood, yet likelihood remains difficult to estimate because cyber incidents are underreported, heterogeneous datasets are weakly comparable, and attacker behaviour changes…

This paper investigates two mechanisms of financial contagion that are, firstly, the correlated exposure of banks to the same source of risk, and secondly the direct exposure of banks in the interbank market. It will consider a random…

Computational Finance · Quantitative Finance 2016-03-15 Seyyed Mostafa Mousavi , Robert Mackay , Alistair Tucker

This paper deals with the detection and prediction of losses due to cyber attacks waged on vital networks. The accumulation of losses to a network during a series of attacks is modeled by a 2-dimensional monotone random walk process as…

Probability · Mathematics 2019-01-23 Jewgeni H. Dshalalow , Ryan T. White

In the context of the rapid development of digital supply chain networks, dealing with the increasing cybersecurity threats and formulating effective security investment strategies to defend against cyberattack risks are the core issues in…

Cryptography and Security · Computer Science 2025-02-18 Jiajie Cheng , Jiaxin Wang , Caijiao Li , Luxiang Zhang , Yusheng Fan , Yujie Bao , Wen Zhou

Cyber-secure networked control is modeled, analyzed, and experimentally illustrated in this paper. An attack space defined by the adversary's system knowledge, disclosure, and disruption resources is introduced. Adversaries constrained by…

Optimization and Control · Mathematics 2012-12-04 André Teixeira , Iman Shames , Henrik Sandberg , Karl H. Johansson

Not a day goes by without news about a cyber attack. Fear spreads out and lots of wrong ideas circulate. This survey aims at showing how all these uncertainties about cyber can be transformed into manageable risk. After reviewing the main…

Cryptography and Security · Computer Science 2023-03-24 Michel Dacorogna , Marie Kratz

Stealth attacks pose potential risks to cyber-physical systems because they are difficult to detect. Assessing the risk of systems under stealth attacks remains an open challenge, especially in nonlinear systems. To comprehensively quantify…

Systems and Control · Electrical Eng. & Systems 2024-05-07 Guang Chen , Zhicong Sun , Yulong Ding , Shuang-hua Yang

The paper provides a framework for the assessment and optimization of the total risk of complex distributed systems. The framework takes into account the risk of each agent, which may arise from heterogeneous sources, as well as the risk…

Optimization and Control · Mathematics 2025-09-09 Aray Almen , Darinka Dentcheva

This paper addresses the security allocation problem in a networked control system under stealthy injection attacks. The networked system is comprised of interconnected subsystems which are represented by nodes in a digraph. An adversary…

Systems and Control · Electrical Eng. & Systems 2025-12-03 Anh Tung Nguyen , Sribalaji C. Anand , André M. H. Teixeira

This paper proposes an online cross-layered defense strategy for multi-channel systems with switched dynamics under DoS attacks. The enabling condition of a channel under attacks is formulated with respect to attack flow and channel…

Systems and Control · Electrical Eng. & Systems 2025-04-30 Liheng Wan , Panshuo Li , James Lam

Cybersecurity is a big challenge as hackers are always trying to find new methods to attack and exploit system vulnerabilities. Cybersecurity threats and risks have increased in recent years, due to the increasing number of devices and…

Cryptography and Security · Computer Science 2024-07-30 Ihab Mohamed , Hesham A. Hefny , Nagy R. Darwish

We model the risk posed by a malicious cyber-attacker seeking to induce grid insecurity by means of a load redistribution attack, while explicitly acknowledging that such an actor would plausibly base its decision strategy on imperfect…

Cryptography and Security · Computer Science 2021-10-04 Efthymios Karangelos , Louis Wehenkel

When undertaking cyber security risk assessments, we must assign numeric values to metrics to compute the final expected loss that represents the risk that an organization is exposed to due to cyber threats. Even if risk assessment is…

Computer Science and Game Theory · Computer Science 2017-12-19 Andrew Fielder , Sandra Konig , Emmanouil Panaousis , Stefan Schauer , Stefan Rass

We study the problem of containing spreading processes in arbitrary directed networks by distributing protection resources throughout the nodes of the network. We consider two types of protection resources are available: (i) Preventive…

Optimization and Control · Mathematics 2016-11-17 Victor M. Preciado , Michael Zargham , Chinwendu Enyioha , Ali Jadbabaie , George Pappas

Threats on the stability of a financial system may severely affect the functioning of the entire economy, and thus considerable emphasis is placed on the analyzing the cause and effect of such threats. The financial crisis in the current…

Risk Management · Quantitative Finance 2014-10-28 Piotr Berman , Bhaskar DasGupta , Lakshmi Kaligounder , Marek Karpinski

The losses arising from a system being hit by cyber attacks can be staggeringly high, but defending against such attacks can also be costly. This work proposes an attack countermeasure selection approach based on cost impact analysis that…

Cryptography and Security · Computer Science 2019-04-08 Jukka Soikkeli , Luis Muñoz-González , Emil C. Lupu