The chair of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, is shifting his focus from cryptocurrency to artificial intelligence (AI), a technology he believes is the most transformative of this generation. Gensler warns of the dangers of unchecked AI automation in finance, which could have cascading implications for trillions of dollars in assets overseen by the SEC. Gensler has proposed regulatory frameworks for AI, requiring trading houses and money managers to evaluate whether their use of AI or predictive data could lead to conflicts of interest. However, Gensler's shift in focus toward AI does not indicate the SEC loosening its grip on cryptocurrencies, as several lawsuits involving major crypto firms are still pending.
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