The upshot, for busy people:
- Realizing value and managing risk in investments and acquisitions of digital assets businesses means understanding several key areas of the target’s business—among them, cybersecurity, data privacy and regulatory positions.
- This is particularly challenging in light of the pace of innovation in these technologies and the intersecting, evolving regulations that apply to digital assets.
- As valuations increase and investment capital flows into the digital assets sector, the negative impacts of missteps in these areas—especially risks of cybercrime and regulatory penalties and sanctions—have also expanded significantly.