New Biden Rule Could Affect AI Cryptocurrencies Like GRT, AGIX, FET (Opinion)

The new rules require companies to conduct AI safety tests and share the results with the US government. In addition, they include meeting official standards for safe AI development and clearly labeling AI-generated content. That’s worth avoiding a Skynet or Omni Consumer Products fiasco.

White House Issues New Rules for AI

A fact sheet released by the White House briefing room notes:

“AI can bring real benefits to consumers—for example, by making products better, cheaper, and more widely available. But AI also raises the risk of injuring, misleading, or otherwise harming Americans.”

Here’s how the government’s new regulations for artificial intelligence developers could affect the cryptocurrency industry. But also, here’s how cryptocurrencies can help support the government’s priorities.

Increased Regulatory Costs for AI Blockchains

The new reporting requirements in Biden’s executive order are apt to add costs for AI cryptocurrencies. However they pan out, blockchains that utilize AI will have to take on the additional time and cost burden of staying in compliance.

But that doesn’t mean bootstrapped startups will be overburdened. The White House release on the new executive order specifies that it’s “developers of the most powerful AI systems” that must “share their safety test results and other critical information with the U.S. government.”

Ostensibly, by the time an AI blockchain reaches a critical threshold of capability to fall under this requirement, the project would be well capitalized and able to meet the costs with a negligible effect on its finances.

AI Cryptocurrencies Could Lead The Way

The cryptocurrency industry has much to offer in the way of techniques that can help make Washington’s goals a reality for Internet users. Moreover, blockchain has a tremendous head start.

The White House’s sweeping order on AI includes some goals for cryptography to protect Americans’ privacy. The White House release says its priorities include:

“Strengthen privacy-preserving research and technologies, such as cryptographic tools that preserve individuals’ privacy, by funding a Research Coordination Network to advance rapid breakthroughs and development.”

Security and privacy preservation are already key competencies of the cryptocurrency industry. Furthermore, any sufficiently advanced smart contract platform will eventually have the qualities of artificial intelligence.

Meanwhile, top AI cryptocurrencies like The Graph (GRT), SingularityNet (AGIX), and Fetch.ai (FET) use AI to do what humans don’t have the bandwidth to do. The Graph, for example, is an AI-powered indexing protocol for smart contract platforms like Ethereum.

Using hashing and cryptographic techniques, AI cryptocurrencies can also help to fight cyber-criminals and AI-enabled identity theft or theft of users’ digital funds or private information by quickly verifying users’ private keys.