Open letter warns about AI, which should also apply to cryptocurrencies

Both AI and cryptocurrencies move at breakneck speeds and are technically very demanding, making them difficult to regulate. But the whistleblower remains silent.

Another week passes and another warning about artificial intelligence arrives.

But the open letter expresses fears that it could worsen inequality, fuel misinformation and lead to uncontrollable AI systems that “could potentially wipe out the human race.”

why? That’s because four of the anonymous signatories are employees of OpenAI, the company that created the now widely known ChatGPT. Six other people used to work there.

It is important to note that many people closely involved in bringing AI to the public have fears about the future. They believe the technology, still in its infancy, could provide “unprecedented benefits” to humanity, but fear the public and regulators do not understand the full picture.

“AI companies possess significant non-public information about the capabilities and limitations of their systems, the adequacy of their protective measures, and the level of risk of various kinds of harm. However, they currently have little obligation to share any of this information with governments, and certainly no obligation to share it with civil society. “I don’t think we can trust them all to share it voluntarily.”

right to warn

The similarities between artificial intelligence and the cryptocurrency space are very stark. Both industries are moving at breakneck speed and have a very technological edge. This is a major obstacle for both governments and regulators. First of all, some politicians may have a hard time grasping the problem itself. Just ask U.S. Congressman Brad Sherman, who infamously referred to the creator of Bitcoin as “Saratoshi Nagamoto.”

From here, it becomes difficult to prepare literate laws that discourage crime by bad actors while encouraging innovation among good actors. And by the time authorities catch up, those industries will be unrecognizable, meaning the legislation on the table often doesn’t reflect the reality of how the technology is used and where the greatest risks lie. More than 15 years later, we can see that serious regulatory paralysis regarding cryptocurrency still exists in the United States. Bitcoin was first launched.

As we noted in our AI-focused open letter, the lack of effective government oversight means we rely heavily on whistleblowers within companies to hold them accountable. One of the author’s biggest concerns is how confidentiality agreements effectively stifle speaking out.

“General whistleblower protections are not sufficient because they focus on illegal activity, while many of the risks we are concerned about are not yet regulated. Some of us fear retaliation in various forms.“

right to warn

Here too, there is a symmetry between artificial intelligence and cryptocurrencies. This was proven in an in-depth and damning report recently released by an independent examiner tasked with investigating the collapse of FTX in 2022. In this case, six anonymous whistleblowers with legal authority were identified. The concern reached $25 million. One was ordered to apologize to CEO Sam Bankman-Fried, who is currently in prison, resigned and reached a $16 million settlement.

The cryptocurrency industry has made promising strides in recent years to right past wrongs following numerous bankruptcies such as BlockFi, Voyager, and Chelsea, but one could argue that there is still more work to be done. The four commitments requested from AI companies in this open letter are therefore particularly applicable to the digital asset sector.

There are calls for leading artificial intelligence companies to refrain from enforcing clauses prohibiting criticism of employees concerned about new risks and to introduce anonymous procedures for them to raise concerns with boards, regulators and experts. Some of cryptocurrency’s biggest controversies could have been avoided if similar safeguards had been in place.

In addition to embracing a culture of open criticism, AI leaders must pledge not to retaliate against employees who disclose confidential information after exhausting all other possibilities to escalate the problem.

It is unclear how much of a difference this open letter will make in the quest for AI regulation. And there is something to be said about the inherent transparency of blockchain technology, which allows for real-time monitoring of fund flows and transaction records. Large-scale language models, which are typically built privately, are much more opaque.

However, the consequences of inaction and the potential harm faced by everyday consumers are equally severe for both industries. Too many cryptocurrency investors have lost their lives because they were not properly informed about the risks. This was due to a lack of coordination between international regulators to prevent foreign malicious actors from going unchecked. And as AI becomes smarter and more intuitive to users every day, the livelihoods of millions of hard-working people could now be at risk.