SEC Acting Chairman: Technology neutral regulatory approach should be adopted for financial AI

Odaily Planet Daily News: The US Securities and Exchange Commission has officially released the speech of its acting chairman Mark T. Uyeda at the Financial Industry Artificial Intelligence Roundtable. Mark T. Uyeda stated that the US financial market has been continuously advancing through technological innovation, and various forms of artificial intelligence have been used for financial products and services. The use of these technologies has promoted trading and investment, as well as improvements in financial products and processes. Financial regulatory agencies should adopt a technology neutral regulatory approach and avoid overly standardized methods, as such methods may lead to outdated and repetitive rules, compliance using a "checkbox" approach, and hinder innovation. If technological advancements such as artificial intelligence create potential loopholes in regulatory structures or indicate the need for additional guidance, the U.S. Securities and Exchange Commission has a responsibility to address these loopholes or provide guidance in a way that encourages innovation while protecting investors. The U.S. Securities and Exchange Commission must keep in mind its statutory powers and prioritize effective and cost-effective regulations in this area.