This study aims to investigate the impact of digital finance on banking risk in the ASEAN-5 region, focusing specifically on credit risk, liquidity risk, and bankruptcy risk. The problem studied is how the impact of digital finance adoption affects the three types of risk amid the rapid development of financial technology. This study uses quantitative methods with secondary data from Refinitiv, annual reports, and the IMF. The sample consists of 91 banks over the period 2014-2023. Data analysis was conducted with Fixed Effect, Random Effect, and Robust Regression panel regression using STATA 17 software. The results showed that digital finance has a negative effect on credit risk and liquidity risk. This reflects the role of digitalization in improving the efficiency of credit assessment, loan monitoring, cash management, and transaction acceleration. Furthermore, digital finance has a positive effect on bankruptcy risk, which reflects that the adoption of digital finance helps mitigate bankruptcy risk. Control variables show that bank size and profitability have a positive effect on credit and bankruptcy risk, while assets to liability ratio have a negative impact on bankruptcy risk. ATM distribution, both per area and per adult population, has no significant effect on the three risks. In conclusion, the adoption of digital finance is beneficial in mitigating some banking risks, but it still raises new challenges, particularly in terms of bankruptcy risk. Therefore, it is recommended that regulators and bank management improve supervision and strengthen risk management systems in the utilization of digital finance, while paying attention to fundamental factors such as size, profitability, and asset-liability structure of banks.