United States of America: Introduced Unleashing AI Innovation in Financial Services Act (SB 4951)

On 1 August 2024, the Unleashing AI Innovation in Financial Services Act (SB 4951) was introduced to the Senate. The Bill proposes the establishment of regulatory sandboxes to enable financial services entities to test artificial intelligence (AI) technologies. The Bill outlines measures for the application and approval process for entities wishing to test AI tools, offering them temporary relief from specific regulations. The Federal Reserve, the Office of the Comptroller of the Currency (OCC), the Federal Deposit Insurance Corporation (FDIC), the Securities and Exchange Commission (SEC), the Consumer Financial Protection Bureau (CFPB), the National Credit Union Administration (NCUA), and the Federal Housing Finance Agency (FHFA)are tasked with setting up these sandboxes, reviewing applications within 90 days, and deciding on approvals based on detailed criteria.