"it

 

will start by taking over the financial networks."

I've been saying it for a long time.

AI fears creep into finance, business and law

"Silicon Valley figures have long warned about the dangers of artificial intelligence. Now their anxiety has migrated to other halls of power: the legal system, global gatherings of business leaders and top Wall Street regulators."

"Those reports came just weeks after the Financial Stability Oversight Council in Washington said AI could result in “direct consumer harm” and Gary Gensler, the chairman of the Securities and Exchange Commission (SEC), warned publicly of the threat to financial stability from numerous investment firms relying on similar AI models to make buy and sell decisions."

"The SEC’s Gensler has been among the most outspoken AI critics. In December, his agency solicited information about AI usage from several investment advisers, according to Karen Barr, head of the Investment Adviser Association, an industry group. The request for information, known as a “sweep,” came five months after the commission proposed new rules to prevent conflicts of interest between advisers who use a type of AI known as predictive data analytics and their clients.

“Any resulting conflicts of interest could cause harm to investors in a more pronounced fashion and on a broader scale than previously possible,” the SEC said in its proposed rulemaking.

Investment advisers already are required under existing regulations to prioritize their clients’ needs and to avoid such conflicts, Barr said. Her group wants the SEC to withdraw the proposed rule and base any future actions on what it learns from its informational sweep. “The SEC’s rulemaking misses the mark,” she said."

"Financial services firms see opportunities to improve customer communications, back-office operations and portfolio management. But AI also entails greater risks. Algorithms that make financial decisions...even cause a global market meltdown, if dozens of institutions relying on the same AI system sell at the same time.

(It's okay, we got some free $ for you over here, just come let us scan your irises."

PEOPLE BETTER WAKE UP TO WHAT IS GOING ON!)

"This is a different thing than the stuff we’ve seen before. AI has the ability to do things without human hands,” said attorney Jeremiah Williams, a former SEC official now with Ropes & Gray in Washington."

“Nobody’s done a stress scenario with the machines running amok,” added Berner, the first director of Treasury’s Office of Financial Research."

"Tech critics have pointed out that some of the leaders sounding the alarm, such as OpenAI CEO Sam Altman, are nonetheless pushing the development and commercialization of the technology."