OpenAI CEO Sam Altman Is Terrified About AI Bank Fraud

[ad_1] Sam Altman, the CEO of $300 billion AI startup OpenAI, is asking finance business leaders to remain forward of AI traits — and to keep away from voice authentication in any respect prices.

On the Federal Reserve's Regulatory Capital Framework Convention on Tuesday in Washington, D.C., Altman advised a crowd of monetary regulators and business specialists that "a factor that terrifies" him is banks that also settle for voices to authenticate id. AI voice cloning hoaxes can copy an individual's voice in three seconds and use the cloned voice to empty financial institution accounts.

"A factor that terrifies me is seemingly there are nonetheless some monetary establishments that may settle for a voice print as authentication so that you can transfer some huge cash or do one thing else," Altman mentioned on the occasion, per Enterprise Insider.

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Altman mentioned voice authentication was "a loopy factor to nonetheless be doing" and that AI has "totally defeated" some ways monetary establishments at the moment affirm id.

He additionally warned that AI has the potential to trigger a "important impending fraud disaster," and predicted that establishments are going to have to remodel the way in which they confirm id in response.

"Persons are going to have to vary the way in which they work together," Altman mentioned. "They are going to have to vary the way in which they confirm. This can be a enormous deal."

OpenAI CEO Sam Altman speaks on the Federal Reserve's Regulatory Capital Framework Convention on Tuesday. Picture by Andrew Harnik/Getty Pictures

Throughout a Q&A session on the Federal Reserve occasion, Altman was additionally requested about what retains him up at evening. He mentioned a widespread monetary disaster the place an adversary makes use of AI to launch an assault on the U.S. The dangerous actor may "break into monetary techniques and take everybody's cash," and there could be little we may do about it, Altman mentioned. It might be tough to uphold protecting measures in opposition to an adversary with smarter AI, Altman defined.

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Altman's fears that AI might be misused within the flawed palms are echoed by monetary leaders. In response to a survey launched in March by consulting agency Accenture, 80% of financial institution cybersecurity leaders state that AI permits dangerous actors to launch assaults quicker than banks can reply. In different phrases, the leaders cannot sustain with the speedy tempo of AI scams focusing on private financial institution accounts.

Customers reported shedding greater than $12.5 billion to scams in 2024, a 25% enhance from the earlier 12 months, in line with the Federal Commerce Fee. Extra individuals fell for scams and misplaced cash to them final 12 months, with $2.95 billion misplaced to imposter scams.

Nonetheless, some high executives at OpenAI are satisfied it has the facility to do lots of good, from eradicating ailments to serving to help equal pay initiatives.

Be a part of high CEOs, founders and operators on the Stage Up convention to unlock methods for scaling your enterprise, boosting income and constructing sustainable success. Sam Altman, the CEO of $300 billion AI startup OpenAI, is asking finance business leaders to remain forward of AI traits — and to keep away from voice authentication in any respect prices.

On the Federal Reserve's Regulatory Capital Framework Convention on Tuesday in Washington, D.C., Altman advised a crowd of monetary regulators and business specialists that "a factor that terrifies" him is banks that also settle for voices to authenticate id. AI voice cloning hoaxes can copy an individual's voice in three seconds and use the cloned voice to empty financial institution accounts.

"A factor that terrifies me is seemingly there are nonetheless some monetary establishments that may settle for a voice print as authentication so that you can transfer some huge cash or do one thing else," Altman mentioned on the occasion, per Enterprise Insider.