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first_img White House crypto advisor Patrick Witt resigns, Clarity Act legislation stalled

According to The Block, there has been another personnel change at the White House regarding digital asset regulation, as Patrick Witt has concluded his term as the White House Chief Crypto Advisor. A White House official stated in an email to The Block on Wednesday that Witt's "detail has expired" and expressed gratitude for his work during the Trump administration, wishing him success in the future. Previously, Crypto In America reporter Eleanor Terrett reported that Witt was an employee of the Department of Defense and held a temporary position on the White House Crypto Council.Witt, in his role as Executive Director of the President's Advisory Council on Digital Assets, led the Washington effort to push for the broad crypto legislation known as the Clarity Act. The House version of the bill was passed over a year ago, after which he was responsible for coordinating negotiations in the Senate. However, the Senate version faces multiple obstacles, including disagreements between the banking sector and the crypto industry on the treatment of stablecoin rewards, as well as how to address the conflicts of interest arising from President Trump's substantial crypto assets. The latter became a major reason why the bill failed to pass its first procedural vote last month, as Democrats were concerned that the relevant provisions would not be enforceable, since decisions on whether to take enforcement action against the president would be made by the Department of Justice rather than the states.Witt is the third high-level crypto official to leave the White House. David Sacks, who was in charge of crypto and artificial intelligence affairs, departed in March, stating that his 130-day term as a special government employee had ended; Witt's deputy director, Harry Jung, also left in July.

Anthropic researcher resigns, stating that AI may go out of control next year

Anthropic researcher Jacob Coxon announced his resignation and is preparing to leave the AI industry. He has conducted pre-training research at OpenAI and Anthropic over the past three years. He pointed out that neither company has responsibly advanced AI and are competing to create superintelligence that can continue to enhance its own capabilities, "betting our lives on it."He switched from OpenAI to Anthropic this year because the latter places more emphasis on model safety. Coxon acknowledged that Anthropic's safety work is serious, but believes that as long as companies are racing to be the first to create AGI (artificial general intelligence that surpasses humans in a wide range of tasks), safety compromises are unavoidable, and self-discipline from a single company cannot solve the problem. His assessment of the two companies is: many people inside OpenAI still do not truly realize how great this risk is; Anthropic knows the risks but believes others are unreliable, so they must create it themselves first.Coxon stated that some AI practitioners are much more pessimistic privately than they express publicly, and are even worried that AI could destroy humanity before the end of this decade. He personally judges that in the most radical scenario, AI could go out of control by the end of next year, so such decisions should not be made solely by the engineers of a few companies.

TD Cowen: Federal Reserve Vice Chair for Supervision Barr Resigns, Uncertain Outlook for Stablecoin Regulation

ChainCatcher news, Jaret Seiberg of TD Cowen Washington Research Group stated that the resignation of Federal Reserve Vice Chair Barr "is not as much of a victory for big banks as it appears on the surface."Seiberg noted in a report on Monday: "The Democrats will retain their majority on the Federal Reserve Board until early 2026, and given the need to confirm new regulatory officials, it is hard to see significant progress on regulatory easing this year."Barr has called for regulation of stablecoins over the past year and stated that stablecoins "borrow the trust of central banks." "The Federal Reserve is very eager to ensure that any issuance of stablecoins operates within an appropriate federal prudential regulatory framework so that they do not threaten financial stability or the integrity of the payment system," Barr said at a conference in Washington, D.C. in October 2023.For years, lawmakers have been working on legislation to regulate stablecoins, but the crux of the issue lies in how to allocate regulatory authority between state and federal levels. (The Block)In news from yesterday, Federal Reserve's Barr announced that he will resign from the position of Vice Chair for Supervision on February 28, 2025. The Federal Reserve's statement indicated that Barr will continue to serve as a governor of the Federal Reserve but does not intend to engage in significant rulemaking until a successor to the vice chair position is determined. Barr stated in the announcement that the "controversy" surrounding his position could distract the Federal Reserve's focus.
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