Compiled by Athena Smith.
Articles
New York Could Share Frontier AI Safety Reports Nationwide Without New Legislation
Keshav Narayan** **explained how New York’s Responsible Artificial Intelligence (AI) Safety and Education (RAISE) Act allows the New York Department of Financial Services (NYDFS) to share critical safety reports with other entities. The RAISE Act’s coordination with the NYDFS can serve as a channel for states to share frontier AI safety reports confidentially, revealing some of a frontier AI’s biggest risks before it goes public.
Using this authority, NYDFS could require the financial services businesses it regulates to use frontier models only from large frontier developers that have filed the required disclosures and paid the required share. Given recent incidents demonstrating the risks of AI agents pursuing objectives and taking actions that their developers did not intend, a large frontier developer that fails to comply with even the most basic requirements of New York’s AI safety framework may pose unnecessary risk if its frontier models are deployed throughout the financial system, where they may have access to sensitive financial and personal data.
The CFTC Is Tying Its Own Hands on Prediction Markets
Reed Shaw** **discussed how the new rule proposed by the Commodity Futures Trading Commission (CFTC) would lock in a hands-off approach to review of prediction market contracts from platforms like Polymarket and Kalshi. Shaw argued that this rule is inconsistent with administrative law, abdicates the CFTC’s responsibility to keep the public safe, and prevents these prediction platforms from future scrutiny.
Agencies are supposed to serve the public interest, not entrench the preferences of whoever captured them last. Congress gave the CFTC authority to review prediction market contracts for a reason: unregulated wagering on elections, war, and human life raise serious questions about perverse incentives, morality, and national security that the market will not answer on its own. The proposed rule abdicates that responsibility, and then tries to lock in that abdication for years to come, regardless of whether a future administration takes a more pro-regulatory stance on prediction markets. The CFTC should not finalize the proposal, and if it does, courts may review it with a skeptical eye.
Podcasts
Lawfare Daily: The Houthi War Against Saudi Arabia:Daniel Byman sat down with Gregory Johnsen to discuss the latest developments in the war in Yemen, the reasons for the Houthis’ successes so far, the dilemmas facing Saudi Arabia, and why the situation has gone from bad to worse.
Rational Security: “The Right Kind of American for Rational Security” Edition:Scott Anderson sat down with Natalie Orpett and Julia Curlee to discuss Chinese President Xi Jinping’s summit with Donald Trump, the U.S.-Denmark-Greenland agreement, this week’s annual high-level session of the UN General Assembly in New York, and more.
*Support *Lawfare
*Follow us on Twitter, Facebook, YouTube, and LinkedIn. Become a material supporter on Patreon. Sign up to receive *Lawfare
