• News
    • Bitcoin
    • Altcoins
    • Blockchain
    • DeFi
    • Regulation
    • Scams
  • NFT
  • Metaverse
  • Analysis
  • Learn
  • Videos
  • Blogs
  • Market Cap
  • Shop
What's Hot

Bitcoin ATH Countdown: Record Price Breakout Imminent

2025-05-18

If You’re Allocated Right — The Future Is Bright 💸🚀

2025-05-18

Cryptocurrency Explained: 101 Beginner’s Guide For 2025!!

2025-05-18

Subscribe to Updates

Get the latest creative news from FooBar about art, design and business.

Facebook Twitter Instagram
Crypto Investor News Network
  • News
    • Bitcoin
    • Altcoins
    • Blockchain
    • DeFi
    • Regulation
    • Scams
  • NFT

    All Eyes on Art: Upcoming Collections to Watch the Week of February 4

    2025-02-05

    Creator of rabbit AI assistant has hidden NFT past

    2024-05-02

    Ethereum tops daily NFT sales at US$7 mln, ends weakest month of 2024

    2024-05-02

    Top NFT Airdrops and Giveaways for May 2024

    2024-05-02

    Casio Launches NFT Collection Celebrating 50th Anniversary

    2024-05-01
  • Metaverse

    Shib: The Metaverse – Part of the Expanding Shiba Inu Ecosystem

    2025-01-03

    Experience to Earn: Everdome’s Metaverse Frontier

    2024-12-30

    Beyond Bots: Meta Motivo and the Dawn of Humanlike Digital Life

    2024-12-13

    Exploring NetVRk: What Is Behind This AI-Driven Virtual Universe?

    2024-10-28

    Council of Europe Highlights Metaverse’s Impact on Privacy and Democracy

    2024-09-05
  • Analysis

    Crypto Exchange Coinbase Lists New DeFi Altcoin Project Built on Base Blockchain

    2023-12-13

    Ethereum Price Bears Keep Pushing, Why Decline Isn’t Over Yet

    2023-12-13

    Trader Bullish on Cosmos (ATOM), Says One Dogecoin Rival Setting Up for Next Leg Up – Here’s His Outlook

    2023-12-13

    AVAX Price Pumps 50% and Dumps 15%, Why Uptrend Is Still Strong

    2023-12-13

    Top Trader Predicts Parabolic Rally for Solana Competitor – Here’s His Upside Target

    2023-12-13
  • Learn

    A Beginner’s Guide to Crypto

    2025-05-15

    10 Years of Steadfast Support and Compliance

    2025-05-15

    What Is Proof-of-Work (PoW) in Blockchain? A Beginner-Friendly Guide

    2025-05-12

    What is Proof-of-Authority (POA) Consensus in Blockchain?

    2025-05-09

    What Is Proof-of-Stake (PoS)? Guide to Blockchain Consensus for Beginners

    2025-05-09
  • Videos

    Bitcoin ATH Countdown: Record Price Breakout Imminent

    2025-05-18

    If You’re Allocated Right — The Future Is Bright 💸🚀

    2025-05-18

    Cryptocurrency Explained: 101 Beginner’s Guide For 2025!!

    2025-05-18

    Bessent Revealed ALL: Trump’s Crypto Plans & Trade Deals!

    2025-05-17

    Bitcoin, Burgers, Shakes, and America

    2025-05-17
  • Blogs
  • Market Cap
  • Shop
Facebook Twitter Instagram TikTok
Crypto Investor News Network
Home»NFT»ChatGPT Creator Faces First Major Regulatory Threat With FTC Investigation
NFT

ChatGPT Creator Faces First Major Regulatory Threat With FTC Investigation

2023-07-13No Comments2 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Share
Facebook Twitter LinkedIn Pinterest Email

With artificial intelligence (AI) flying high for Web3 and the wider the world to see and embrace, it shouldn’t be a surprise that the Federal Trade Commission (FTC) has turned its attention to OpenAI, the maker of ChatGPT, in a new investigation, according to an initial report by The Washington Post. 

The agency sent the San Francisco startup a 20-page letter demanding answers for how it is addressing ongoing complaints of misuse of consumer data and cases of “hallucination,” i.e., instances where ChatGPT has made up facts or narratives that have caused reputational harm.

The FTC’s ask

OpenAI will now serve as the FTC’s first public case study for how the agency begins to enforce consumer protection warnings with respect to AI while addressing potentially unfair or deceptive trade practices. The company’s co-founder Sam Altman testified before Congress in May, inviting AI legislation to come into the mix.

In the letter, the FTC wants to gauge how well consumers understand “the accuracy or reliability of outputs” generated by the company’s AI tools, calling on OpenAI to:

  • Provide detailed descriptions of all the complaints the startup has received of its products, including ChatGPT, making “false, misleading, disparaging or harmful” statements about people;
  • Provide records related to a security incident that OpenAI disclosed in March when a system bug allowed some ChatGPT users to see payment-related information in addition to customer data from other user’s chat history;
  • Provide any research, testing, or surveys that assess customers’ understanding of how OpenAI’s products work, how they’re advertised, and how these AI-based tools can generate disparaging statements.
See also  Instagram is Disabling Its NFT Features

Zooming out

The FTC’s focus comes at a time when the agency wants to explore several instances of hallucination. The agency’s active mission is communicating that existing consumer protection laws apply to AI, despite the Biden Administration’s and Congress’s ongoing struggle to put together a regulatory framework. 

Last month, Senate Majority Leader Chuck Schumer (D-NY) predicted that new AI legislation is just a few months away while the European Union’s AI Act moves into its final phases of negotiations.

Vice President Kamala Harris believes that we can both advance AI innovation and protect consumers, sharing the administration’s position on Wednesday at the White House, where Harris hosted a group of consumer protection advocates and civil liberties to discuss the safety and security risks of AI.

ChatGPT Creator Faces FTC Investigation Major regulatory threat
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Creator of over 100 memecoins says rug pulls are the ‘easiest way to make money’

2025-05-18

ChatGPT Predicts Bitcoin’s Next Move | Selects Top Crypto For This Weekend

2025-05-15

Crypto Boom Incoming? Coinbase Report Signals Major Bull Run

2025-05-08

Major Events This Week That Could Disrupt Bitcoin and the Markets

2025-04-20
Add A Comment

Leave A Reply Cancel Reply

Top Posts
Regulation

Coinbase officer argues U.S. student loan ruling sets precedent for SEC on crypto regulation

2023-07-04

Coinbase Chief legal officer Paul Grewal said on July 4 that the U.S. Securities and…

NFT

Japanese Sports Giant Mizuno Takes NFT Plunge with Judo, Running, Soccer Offerings

2023-02-27

NFT The Japanese sports giant Mizuno has launched its first line of non-fungible tokens (NFTs)…

Videos

#bitcoin #blockchain #cryptocurrency #financialfreedom #cryptolove #investing

2023-04-01

See also  Animoca Brands partners with NFT Project Imaginary Ones to enhance tokenomics 

Subscribe to Updates

Get the latest news and Update from CINN about Crypto, Metaverse and NFT.

Editors Picks

Bitcoin ATH Countdown: Record Price Breakout Imminent

2025-05-18

If You’re Allocated Right — The Future Is Bright 💸🚀

2025-05-18

Cryptocurrency Explained: 101 Beginner’s Guide For 2025!!

2025-05-18

Creator of over 100 memecoins says rug pulls are the ‘easiest way to make money’

2025-05-18
Crypto Investor News Network
Facebook Twitter Instagram TikTok
  • Contact
  • Terms & Conditions
  • Privacy Policy
  • DMCA
  • Disclouser
© 2025 - All rights are reserved.

Type above and press Enter to search. Press Esc to cancel.

bitcoin
Bitcoin (BTC) $ 105,314.22
ethereum
Ethereum (ETH) $ 2,515.25
tether
Tether (USDT) $ 1.00
xrp
XRP (XRP) $ 2.35
bnb
BNB (BNB) $ 644.52
solana
Solana (SOL) $ 166.55
usd-coin
USDC (USDC) $ 1.00
dogecoin
Dogecoin (DOGE) $ 0.22074
cardano
Cardano (ADA) $ 0.72937
tron
TRON (TRX) $ 0.27332
bitcoin
Bitcoin (BTC) $ 105,314.22
ethereum
Ethereum (ETH) $ 2,515.25
tether
Tether (USDT) $ 1.00
xrp
XRP (XRP) $ 2.35
bnb
BNB (BNB) $ 644.52
solana
Solana (SOL) $ 166.55
usd-coin
USDC (USDC) $ 1.00
dogecoin
Dogecoin (DOGE) $ 0.22074
cardano
Cardano (ADA) $ 0.72937
tron
TRON (TRX) $ 0.27332