How financial authorities best respond to AI challenges

Artificial intelligence is transforming finance faster than the authorities can adapt. This column argues that while AI enhances the financial system’s efficiency, it also poses new, poorly understood risks. To stay relevant, the supervisory authorities must develop their own AI capabilities, use federated learning for cross-jurisdiction models, and design intervention facilities that can respond at machine speed. If they cannot keep pace, the consequences will be ineffective supervision and a higher risk of financial crisis.

Trump Signs ‘Genesis Mission’ Order to Boost Innovation With AI

The effort aims to better coordinate research done by agencies across the government and more effectively integrate AI tools to achieve more scientific breakthroughs, according to Michael Kratsios, the director of the White House Office of Science and Technology Policy, who spoke to reporters on the order ahead of Trump’s signature. The mission will harness the computing resources of the Department of Energy’s national labs to tap federal datasets and enable more experiments utilizing AI, Kratsios added, predicting the effort would help shorten the timelines for scientific discoveries.