OpenAI CEO Sam Altman Is Terrified About AI Financial institution 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 informed a crowd of monetary regulators and business consultants 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 outwardly there are nonetheless some monetary establishments that can 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 present 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.

"Individuals are going to have to vary the way in which they work together," Altman mentioned. "They'll have to vary the way in which they confirm. It is a big deal."

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

Throughout a Q&A session on the Federal Reserve occasion, Altman was additionally requested about what retains him up at night time. 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 methods and take everybody's cash," and there could be little we may do about it, Altman mentioned. It will be tough to uphold protecting measures towards an adversary with smarter AI, Altman defined.

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

Customers reported dropping greater than $12.5 billion to scams in 2024, a 25% enhance from the earlier 12 months, in keeping 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 prime executives at OpenAI are satisfied it has the facility to do loads of good, from eradicating ailments to serving to assist equal pay initiatives.

Be a part of prime 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 informed a crowd of monetary regulators and business consultants 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 outwardly there are nonetheless some monetary establishments that can 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.