US lawmakers demanded that the SEC strengthen oversight of AI trading - ForkLog

# US lawmakers demand SEC strengthen oversight of AI trading

A group of Democrats from the US House of Representatives sent a letter to SEC Chairman Paul Atkins. The lawmakers are concerned about the lack of oversight of AI agents that execute trades on behalf of retail investors.

The authors of the letter, Bill Foster and Brad Sherman, believe that the operation of such services threatens market integrity. In their view, AI developers and brokers are currently outside the legal framework, even though they make important investment decisions on behalf of users.

“AI firms operate largely outside the securities regulatory framework. It is important that technology does not become a tool for concealing conflicts of interest or market manipulation,” — the politicians noted.

The cause for concern was the growing popularity of AI assistants in the crypto industry. In early June, the exchange Coinbase launched its own AI assistant that provides trading advice. The authors of the letter emphasized that such platforms often disclaim responsibility for the accuracy of algorithmic predictions.

The congressmen asked the SEC to answer a series of questions by July 31:

• what protective mechanisms are already in place for AI agents;
• in which cases such bots are required to register;
• whether the agency has sufficient authority to oversee the sector or whether congressional intervention is needed.

Recall that in June, Anthropic CEO Dario Amodei called for stricter oversight of AI models.