The discussion of "biases" is an important read for firms seeking to implement AI-based decision-making. The intellectual difficulty is that a "bias" would seem to suggest a false outcome (e.g., data integrity or performance issues for the AI or ML application); but in this context the definition also includes an outcome that is viewed as not socially desirable.

If the term "bias" includes outcomes that are not socially desirable, a firm may not be able to correct "bias" by improving…

Chair Gensler made clear that he intends for the SEC to be very active in rulemaking, particularly as to new technologies, and in the bringing of enforcement actions. In the disclosure area, Mr. Gensler indicated he will focus on climate change and diversity. Expect a good number of rules to be adopted by 3-2 votes, with the dissents arguing that the new rules are outside the authority of the SEC.

It is somewhat notable that the CRS study assumes both a concern for consumer privacy and the benefits of encouraging, or at least tolerating, payments using cryptocurrencies. It is not obvious that a majority of Congress shares those assumptions. See, e.g., .

Commissioner Stump's outline is right on point.