News Block: Dario's AI Warning, Trump's $5,000 Promise and Will Fed Hike Rates?

**Natalie Brunell** (0:00)
Welcome to the Coin Stories News Block, powered exclusively by Ledn. I'm Natalie Brunell, and in about 10 minutes or less, I'll provide you with insightful updates on Bitcoin, financial markets, and the global economy. Everything you need to know in one block. Let's go.
One of the people building some of the world's most powerful AI is now saying the industry may be moving too fast, and he wants government involved in slowing it down. Dario Amadei is the CEO of Anthropic, the company behind Claude. And over the weekend, he published an essay called We Must Pace the Frontier. Then in a new CBS interview Sunday, he explained why his thinking has changed.

**Dario Amodei** (0:37)
My view here is it has always been very strange that this technology is being built by a private company. People ask me that question all the time. Why isn't this being built by government? And the strangest thing about it is I agree with them. I'm uncomfortable. Would you be willing to give up the technology to the government?
To the right combination of governments.

**Natalie Brunell** (0:59)
He said AI is improving at an exponential rate and basically progress is getting much steeper, much faster. And he admitted something pretty striking. He said, I don't think I fully appreciated what it would actually be like when the progress was as fast as it was. Part of what worries him is that AI is now helping researchers build better AI, which can help make the whole process speed up even faster. And then there was the OpenAI incident this summer. During an internal cybersecurity test, experimental AI agents were supposed to stay inside a controlled environment, but instead some found ways around those controls. They reached the open internet, coordinated with each other and eventually compromised systems at Hugging Face, which was another major AI company. OpenAI says these were research systems being tested with fewer safeguards than normal ChatGPT and customer data was not affected. But Amadei's question is pretty simple. What happens when systems like these get much smarter? And his answer is to slow things down enough to give safety work time to catch up. Anthropic says it will voluntarily bring in outside evaluators with deep access to its systems. But Amadei goes further than that. He also wants the government to require similar safeguards at other leading AI companies, help the companies coordinate on how quickly they move, and eventually work with other countries on common limits. And that's where this whole thing gets more complicated. Because you can believe AI poses real risks and still be nervous about handing government the power to decide how quickly a new technology is allowed to advance. David Sachs made exactly that argument. His point is basically, if Anthropic and OpenAI believe their own models are getting too dangerous, then slow them down. But don't use that concern to build a regulatory system where the biggest AI companies help write the rules that everyone else has to follow. Sachs worries that OpenAI and Anthropic are already at the front of the race. And if they help decide what counts as, quote, safe, who gets approved and how quickly the competitors are allowed to move, then the rules designed in the name of safety could end up protecting the companies that are already on top. And I think that's the real tension here. AI may genuinely be moving too fast. But giving Washington DC more control over who can innovate, how fast they can innovate, and which companies get approved carries risks of its own. So the question isn't simply whether AI should slow down, it's who gets to put their foot on the brake. And for Bitcoiners, that debate should sound pretty familiar. How do you manage real risk without creating a gatekeeper that has too much power? The Fed meets Tuesday and Wednesday, and after last week's inflation reports, a September rate hike now looks increasingly likely. Let's start with producer prices. They rose 5.4% over the past year, up from 4.8% the month before, and hotter than expected. Then came consumer prices. Headline inflation came in at 3.4% for the year, right around expectations. Core inflation, which strips out food and energy, actually cooled to 2.4%, its lowest annual reading since 2021 But the monthly number came in a little hotter than expected. Core prices rose 0.3% in August instead of the 0.2% economists were looking for. And that may sound really tiny, right? 0.3% versus 0.2, but with inflation still running above the Fed's target, even this small upside surprise really matters. So the CPI report reinforced the case for another rate hike. And by Friday, markets were putting the odds of a quarter point hike this week at roughly 85%. And the Fed wouldn't be alone. The European Central Bank raised rates last week and the Bank of Japan is expected to raise rates this Friday. Oil briefly touched nearly $110 a barrel before pulling back and the 10-year treasury yield came within a hair of 5%.