The US has opposed a ban on the use of artificial intelligence on financial exchanges

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US Senators Ted Cruz and Bill Hagerty have introduced a bill to block an initiative by the US Securities and Exchange Commission (SEC) to restrict the use of artificial intelligence, machine learning and predictive analytics in the investment industry.

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According to SEC head Gary Gensler, financial companies can use such tools to gain an unfair advantage when dealing with clients. Senators, however, see the ban as harmful.

According to Cruz, the Commission's new rules will delay the development of the U.S. financial industry and complicate access to investment for ordinary Americans. Earlier, the SEC proposed to oblige companies to record cases of conflict of interest when using algorithms and keep records of their use.

Republicans criticised these requirements as overly burdensome. In addition, they noted the vagueness of the SEC's wording and the lack of clarity as to what exactly would be considered "predictive analytics" and fall under the ban. In their view, even the use of spreadsheets could fall under this definition.

Source: The Register