Governor Waller outlines the Fed’s cautious approach to AI adoption, stressing strict limits, security controls, and rigorous validation to balance innovation with risk mitigation.
Federal Reserve Governor Christopher Waller stated that the institution is cautiously advancing AI integration across its system. Speaking at the Boston Fed, he emphasized strict limits, robust security controls, rigorous model validation, and ongoing evaluation to ensure innovation is balanced with strong risk management. Waller noted that the approach aims to safeguard operations while exploring AI’s potential benefits.