CFPB’s comments to Treasury oppose regulatory ‘sandboxes’ for AI innovation

The Consumer Financial Protection Bureau has come out forcefully against suspending the enforcement of foundational laws in the interest of incentivizing the innovative use of artificial intelligence and warned against relying on “black-box” systems, in a public comment process that highlights its departure from the agency’s policies under the Trump administration.

“The CFPB has previously experimented with offering ‘sandboxes’ and other forms of special regulatory treatment to individual firms to foster innovation,” the agency wrote in comments posted Aug....