SEC's Gensler Shifts Focus to AI in Finance and Prioritizing Safety
During the AI boom, Gary Gensler, who leads the US Securities and Exchange Commission (SEC), is changing his focus from cryptocurrency to artificial intelligence. He thinks AI has great potential to transform the finance industry. For the past two years, he has been dealing with issues related to scams and fraud in the world of cryptocurrency. Now, he wants to pay attention to the risks that come with AI playing a bigger role in making trades and giving recommendations in financial markets
Gensler agrees that digital coins and nonfungible tokens have become very popular in the finance world, but he believes that AI is the one deserving all the excitement. He thinks AI is the most important and groundbreaking technology of our time, and it can change the way we handle money and financial tasks in our everyday lives.
The head of the SEC is worried about the increasing use of AI algorithms in the financial sector. While AI can be helpful, it also brings risks to the markets and investors. When AI is used for trading and recommending financial products, it can make things more complicated and have unintended effects on the market. This might create problems and vulnerabilities. Gensler thinks that the rules and regulations should be updated to make sure that AI-driven financial decisions are clear, and responsible, and always prioritize the best interests of the investors.
As AI is becoming more and more important in the financial world, and it offers many advantages. AI-powered algorithms can quickly analyze huge amounts of data, find patterns, and make fast decisions. This can improve how the market works and give valuable information to investors. But the SEC, which is led by Gensler, wants to be careful. They want to find a balance between using AI's potential to make positive changes and making sure it doesn't cause any problems.
The SEC (which stands for the U.S. Securities and Exchange Commission) wants to work closely with banks, technology companies developing AI, and experts to create rules that encourage innovation while also reducing risks. The head of the SEC, Gary Gensler, envisions a future where AI can grow and succeed in a safe way. This will make financial markets more secure and efficient, with a focus on protecting people's interests.
While Crypto is still an important topic for the SEC (the organization that oversees financial markets in the US), but its leader, Gensler, is also paying a lot of attention to AI. He understands that AI is having a big impact on how finance works. As the SEC deals with this new AI-driven finance world, Gensler's main goal is to make sure that finance stays safe for people, even with all the changes AI brings.
