Massachusetts launches probe into AI in securities industry - Cointelegraph
🥇 Bonuses, Promotions, and the Best Online Casino Reviews you can trust: https://bit.ly/BigFunCasinoGame
Massachusetts launches probe into AI in securities industry - Cointelegraph
Massachusetts securities regulators seek to ensure that AI applications in the securities industry will not harm the interests of their users. 2115 Total views 10 Total shares Securities regulators in the United States state of Massachusetts have launched an investigation into the use of artificial intelligence (AI) in the securities industry after becoming increasingly concerned about the implications of the new technology. On Aug. 3, Massachusetts Secretary of the Commonwealth William Galvin officially announced an investigation into how firms use AI in their interactions with Massachusetts investors. On Aug. 2, the commonwealth’s securities division sent letters of inquiry to a number of registered and unregistered firms known to be using or developing AI for business purposes in the securities industry. The authority sought data on the matter in which companies may be using AI in their activities and operations. The firms included in the investigatory sweep have been given until Aug. 16, 2023, to respond to the regulator’s inquiries. “Of particular interest to Galvin are the supervisory procedures that firms have in place regarding artificial intelligence, and whether those systems ensure that the AI will not put the interests of the firm ahead of the interests of their clients,” the regulator said. For those firms that have already deployed AI, the securities division will also be assessing the disclosure policies. According to Galvin, U.S. securities regulators have a crucial role to play when it comes to AI and its possible implications for investor protection. He added: “If deployed without the guardrails necessary to ensure proper disclosure and consideration of conflicts, I am concerned that this technology could result in harm to investors.” Additionally, Massachusetts securities regulators are also questioning certain companies about any marketing materials provided to investors that may have been created using AI. The Massachusetts securities division did not immediately respond to Cointelegraph’s request for comment. AI has increasingly become a global regulatory concern in recent years due to the rapid growth of the technology. In the second fiscal quarter of 2023, mentions of AI in earnings calls of major tech companies skyrocketed. For example, companies like Intel mentioned AI nearly 300% more in Q2 2023 than in its first-quarter call. Related: SEC’s Gary Gensler believes AI can strengthen its enforcement regime But some major regulators have been alarmed by potential risks coming with AI for several years. For example, the Financial Stability Board (FSB) raised concerns about AI and machine learning in financial services back in 2017. The FSB specifically argued that AI and machine learning services were increasingly being offered by a small handful of large technology firms. “There is the potential for natural monopolies or oligopolies,” the FSB wrote, adding that competition issues could be translated into financial stability risks. “If one of them were to face major disruption or insolvency, there would be major repercussions in the world of finance,” the regulators argued at the time. Magazine: AI Eye: AI’s trained on AI content go MAD, is Threads a loss leader for AI data?
#AINews, #ArtificialIntelligence, #FutureOfTech, #AIAdvancements, #TechNews, #AIRevolution, #AIInnovation, #AIInsights, #AITrends, #AIUpdates
-
2:16:09
TheSaltyCracker
4 hours agoTrump Takes in $200 Million After Conviction ReeEEeE Stream 06-02-24
92.7K377 -
LIVE
MissesMaam
4 hours agoGrinding Achievement + Perfection | Stardew Valley 💚✨ pt. 34
1,459 watching -
LIVE
Vigilant News Network
10 hours agoMedia Blackout: 10 News Stories They Chose Not to Tell You - Episode 25
2,737 watching -
DVR
EricJohnPizzaArtist
3 hours agoAwesome Sauce with Eric John
11.7K1 -
3:00:20
vivafrei
15 hours agoEp. 213: SHUTTING DOWN ALEX JONES? Biden Regime War in FULL FORCE! Viva & Barnes Live!
133K236 -
1:08:34
The Late Kick with Josh Pate
6 hours agoLate Kick Live Ep 518: CFB’s Wildest Era | Biggest 2024 ?s | Impact Freshmen | Bold Predictions
16.7K -
12:00
Dr. Eric Berg
1 day agoWhat Exercise Burns the Most Calories?
41.7K22 -
4:48:29
LumpyPotatoX2
10 hours ago$10,000 PUBG Tournament w/GamersError - #RumbleTakeover
47.2K11 -
3:22
One Bite Pizza Reviews
2 days agoBarstool Pizza Review - Marco Pizzeria & Restaurant (Branford, CT)
50.5K24 -
41:46
Standpoint with Gabe Groisman
15 hours agoEp. 27. From GameStop to the NBA. Gabe Plotkin
52.2K6