Senators Propose Bill to Triple Penalties for Finance Firms Misusing AI
• Senators propose new bill allowing SEC to seek triple penalties for companies using AI to violate rules or manipulate markets
• Bill aims to address risks posed by deepfakes, automated trading algorithms, and other AI in finance
• Directs Treasury Dept. committee to run simulations testing financial system's resilience against AI disruptions
• Tasks Financial Stability Oversight Council with coordinating government efforts to study AI risks and recommend concrete rules
• Comes after warnings about AI risks to finance from Bank of England and Financial Stability Oversight Council