Journal of Business Accounting and Finance Perspectives
(ISSN: 2603-7475) Open Access Journal
JBAFP 2020, 2(1), 1; doi: 10.35995/jbafp2010001
Received: 27 Aug 2019 / Revised: 7 Jan 2020 / Accepted: 8 Jan 2020 / Published: 10 Feb 2020
Digital liabilities are the unknown future costs that occur after an event related to digital assets threatens organizational value. These events emerge from: (1) an IT data breach or cybersecurity failure; (2) IT infrastructure limitations that limit future opportunities; and (3) changes in business models that are limited due to IT infrastructure. Potential digital liabilities are not fully understood and can be difficult to quantify. Derived from prior research, this research note proposes four methods, modified from existing research literature, for estimating the cost of digital liabilities prior to a digital asset compromise. We conclude the research note by discussing opportunities for future research in this area.
Keywords: digital assets; digital liability; risk; valuation
This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited. (CC BY 4.0).
Raschke, R.L.; Lee, M.T.; Charron, K.F.; Tandy, P.R. Digital Liability Risk: A Note on Estimating Exposure, Costs, and Implications. JBAFP 2020, 2, 1.
Raschke RL, Lee MT, Charron KF, Tandy PR. Digital Liability Risk: A Note on Estimating Exposure, Costs, and Implications. Journal of Business Accounting and Finance Perspectives. 2020; 2(1):1.
Raschke, Robyn L.; Lee, Michael T.; Charron, Kimberly F.; Tandy, Paulette R. 2020. "Digital Liability Risk: A Note on Estimating Exposure, Costs, and Implications." JBAFP 2, no. 1: 1.