European financial regulators said they are struggling to keep up with the rapid pace of AI’s advances.
Nikhil Rathi, CEO of the U.K.’s Financial Conduct Authority, said current rulemaking “doesn’t work” when applied to AI, according to CNBC.
“Technology moves incredibly fast, and we need to think differently about some of the innovations that we are seeing on AI,” the official told the outlet, particularly referring to AI agents.
Along the same lines, European Central Bank President Christine Lagarde said that the technology is a source of productivity and gains, but also poses a “major risk.”
“For about a decade now we have been talking about cybersecurity risks, hacking, data theft and so on,” she said.
“But with the acceleration and deepening of AI models, we are confronted with a much more serious risk, because it is happening very, very quickly, and because the means of defense — and the funding required for them — have yet to be found.”
Elsewhere, AI researchers have launched a new public reporting platform designed to make it easier for users to flag harmful or dangerous AI behavior, as concerns mount over security vulnerabilities, misinformation, privacy leaks and other unexpected failures in increasingly powerful AI systems.
The initiative, called FLARE-AI, aims to create what its developers describe as the first centralized framework for documenting AI flaws and ensuring they reach developers and other organizations capable of addressing them.
The new platform, short for Flaw Reporting for AI, functions similarly to websites such as Downdetector, which collect reports of outages affecting online services. Instead of tracking website failures, FLARE-AI allows users to report incidents ranging from chatbots generating malware or bomb-making instructions to leaking personal information.
Reports can then be verified and routed to AI developers as well as organizations such as MITRE, the nonprofit that tracks technology vulnerabilities. The project was co-led by Hugging Face artificial intelligence policy researcher Avijit Ghosh alongside computer scientists Elaine Zhu and Shayne Longpre.
According to the researchers, today’s AI reporting landscape is fragmented, with each company maintaining different standards and reporting systems, making it difficult for users and independent researchers to disclose serious flaws consistently. “Right now, there is no centralized, accountable way to report flaws in AI systems,” Ghosh told WIRED, arguing that the absence of coordinated reporting limits transparency and accountability across the rapidly expanding AI industry.
The effort involved 49 AI experts representing 32 organizations. Their accompanying research paper argues that a standardized reporting system will become increasingly important as so-called agentic AI systems, which can independently complete tasks on behalf of users, become more capable and widely deployed.
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