Executive Summary

• What is new: The Trump administration’s Working Group on Digital Asset Markets released a comprehensive report outlining some 100 policy and legislative recommendations to position the U.S. as a global leader in digital assets and blockchain innovation.
• Why it matters: The recommendations provide regulatory clarifications and new frameworks across market structure, banking, stablecoins, illicit finance

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Last month, the White House released a report titled “Winning the Race: America’s AI Action Plan” (the “Action Plan”), which builds on an executive order released by the Trump Administration in January.  The Action Plan outlines three pillars: (1) accelerating AI innovation; (2) building American AI infrastructure; and (3) leading in international AI diplomacy and…

The recent federal court ruling in Bartz v. Anthropic PBC has significantly shifted the legal terrain for corporate governance and artificial intelligence. While the case directly addresses copyright issues, it has implications boards of directors, compliance departments, and AI policy.
At the core of the Bartz case lies a deceptively simple question: Can training artificial…

A subtle, yet potentially dangerous shift is underway in one of the most influential narrative sections of financial reports: the Management’s Discussion and Analysis (MD&A). Companies are increasingly crafting these disclosures not just for human shareholders or regulators, but for machines.
This shift isn’t theoretical. In a recent article, I argued that artificial intelligence…

When a team of researchers asked an artificial intelligence system to design a railway network that minimized the risk of train collisions, the AI delivered a surprising solution: Halt all trains entirely. No motion, no crashes. A perfect safety record, technically speaking, but also a total failure of purpose. The system did exactly what it…

Large language models (LLMs) are rapidly becoming integral to financial analysis, from parsing earnings calls to predicting stock market reactions to news. But a critical question remains: When we feed these models more information, do they perform better? Our recent study suggests, not necessarily. We document a structural limitation of LLMs in financial tasks, a…

Artificial intelligence (AI) tools, particularly large language models, are quickly becoming integral to financial advising. Recent evidence, however, demonstrates that they can act against investors’ interests. In a 2023 experiment,researchers deployed GPT‑4 as an autonomous trading agent and found that it executed an insider trade and then concealed the reason, evidence that sophisticated models can…