The White House, on Oct 30, issued a new executive order to ensure national safety and security against potential threats of artificial intelligence (AI) technology. The Biden administration requires AI development companies to perform and report the results of safety testing to the federal government under the Defense Production Act (DPA), if they are developing any foundation model that poses a serious risk to national security, national economic security, or national public health and safety.
The executive order requires developers to come up with solutions to prevent harms that AI can cause to workers like job loss due to the replacement of humans with AI. White House deputy chief of staff Bruce Reed described the order as “the strongest action ever taken by any government in the world” to ensure cybersecurity.
However, the executive order has faced many negative reactions among tech and crypto communities. Tusk Ventures CEO, a fund that invests in technology and AI, said tech companies will not want to share with the government proprietary data about the AI systems they are developing because of concerns about information leaks.
Besides tech companies, many crypto organizations also expressed disagreement. Jeff Amico, CEO at Gensyn Network, said: “It’s terrible for US innovation”. He emphasized that the new rules make startups and companies developing advanced technologies must comply and report in the same way as large organizations listed on the stock market.
While most sectors in the crypto industry have grown well over the past 24 hours, AI tokens have been negatively affected by the executive order. Typical AI tokens such as The Graph (GRT), Fetch.AI’s (FET), SingularityNET (AGIX) and Ocean Protocol (OCEAN) all dropped deeply by 5-10%.
