A newly introduced Senate bill would enable the private sector and government agencies to collaborate on projects designed to promote artificial intelligence innovation that protects consumers in the financial services sector.
The Unleashing AI Innovation in Financial Services Act, introduced by Sens. Martin Heinrich, D-N.M., and Mike Rounds, R-S.D., would establish guardrails at financial regulatory agencies—including at the Federal Reserve, the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation—for regulated entities to safely experiment with AI technologies, Heinrich’s office said Monday.
While the financial services industry has been using AI for several years, there are new technology advancements that companies may adopt to enable new financial products and services, Rounds explained.
He noted that the proposed legislation would create sandboxes where emerging technologies can be tested to encourage innovation while maintaining consumer protection.
Controlled testing environments will help strengthen the U.S. financial system and keep the country “at the forefront of global financial technology,” Rounds added.
