Department of the Treasury – Report on the Uses, Opportunities and Risks of Artificial Intelligence in the Financial Services Sector, December 2024. “This report provides background on the use of AI in financial services based on respondents’ comments and building on observations from previous Treasury reports and  stakeholder engagement,5 highlights Treasury’s ongoing efforts to evaluate recent developments in AI, and summarizes key recommendations from respondent feedback.  Next, the report details the respondents’ comments on current and potential AI use cases,  along with the associated risks, opportunities, and proposed risk mitigation strategies  Finally, the report identifies policy considerations based on Treasury’s analysis of the AI  RFI responses and lays out potential next steps to be considered by Treasury, government agencies, and the financial services sector, including:
1. Aligning definitions of AI models and systems applicable to the financial services sector to facilitate interagency collaboration and coordination with stakeholders;
2. Considering providing additional clarification on standards for data privacy, security, and quality for financial firms developing and deploying AI;
3. Considering expanding consumer protections to mitigate consumer harm;
4. Considering clarifying how to ensure uniform compliance with current consumer protection laws that apply to existing and emerging technologies and providing additional guidance to assist firms as they assess AI models and systems for compliance;
5. Enhancing existing regulatory frameworks and develop consistent federal-level standards to mitigate risks associated with potential regulatory arbitrage and conflicting state laws while clarifying supervisory expectations for financial firms developing and deploying AI; and
6. Facilitating domestic and international collaboration among governments,  regulators, and the financial services sector and pursue public-private partnerships to share information and best practices, promote consistency for standards, and monitor concentration risk.”