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- Gary Gensler told the Financial Times that the next financial crash could be sparked by AI.
- The SEC chair called for regulation to address how AI models are being used by banks on Wall Street.
- Banking has embraced AI, with Morgan Stanley rolling out a chatbot advisor based on OpeanAI's GPT4.
The chair of the SEC has warned that AI could trigger a financial crisis, as Wall Street rushes to adopt the new technology.
Gary Gensler told the Financial Times that it was "nearly unavoidable" that AI would cause a financial crash as soon as the late 2020s or early 2030s, and said that reliance on models developed by tech companies could lead to economic chaos.