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Consumer Groups Warn AI Provision In Crypto Bill Could Weaken State Regulators
['Patrick Donachie', 'Senior Reporter', 'Wealth Management']
wealthmanagement
Consumer protection advocates are speaking out against a provision in Congress’s proposed cryptocurrency legislation, claiming it would allow financial firms to sidestep state oversight of artificial intelligence.
Related:The Supreme Court Quietly Killed SEC Independence“It’s one thing to call it a sandbox,” he said.
The SEC and CFTC would have 360 days after the law’s passage to “establish a CFTC-SEC Micro-Innovation Sandbox,” according to the bill’s language.
To Wojciechowski, it wasn’t an accident that an AI sandbox proposal appeared in legislation otherwise focused on crypto market structure.
From his perspective, crypto firms believe AI innovation is “integral” to growing their businesses.