By PUNCHBOWL NEWS
Published on Novemeber 27, 2024
The bill, would direct several federal regulators to study the use and origins of AI products being used by financial firms. Those agencies include the Federal Reserve, Federal Deposit Insurance Corp., Consumer Financial Protection Bureau, Office of the Comptroller of the Currency and the Securities and Exchange Commission.
The interagency study required by Waters’ bill would ask the regulators to establish recommendations for new standards and definitions for AI policy.
Another major focus is establishing how regulators and firms could “label” the use of AI products, including the origin of data used to train financial services AI and assessing how that data is used.
After that study is published, Waters’ bill would direct each agency to determine whether its existing authorities require regulated firms to submit additional information to the government about how AI models are being trained. That could include “the delineation and ratios of synthetic versus genuine data in the training of artificial intelligence models” and their data sources, according to the bill text.