European Central Bank President warns AI could trigger financial crisis risks

BlockBeats News, June 17 — European Central Bank President Christine Lagarde stated that artificial intelligence could trigger a financial crisis, and the ECB is determined to ensure this does not happen. Lagarde said on Wednesday, "Even with a sound regulatory framework, we cannot prevent the development of artificial intelligence. What we can do is be prepared." She warned that the real risk is not AI itself, but the potential turmoil that could be triggered once this disruptive new variable enters the real world. Lagarde stated, "In modern history, there has been a force that has destroyed jobs and eroded savings more than any technological innovation — and that force is financial crises. As these systems become more powerful, they are increasingly penetrating the economy."

The European Central Bank will next send a letter to bank CEOs to ensure they are prepared for AI attacks and have sufficient resilience, while understanding that addressing related risks requires significant investment. Lagarde believes that ultimately, some form of global AI governance mechanism needs to be established, similar to the nuclear non-proliferation agreements that helped maintain global security during the Cold War peak. (Jin10)