China banks buffer against AI contagions as US sweats over Anthropic’s Mythos

US Treasury Secretary Scott Bessent and Federal Reserve chair Jerome Powell held urgent talks with major US banks regarding potential cybersecurity risks posed by Anthropic's new AI model, Mythos. Experts warn that Mythos could cause significant economic damage, potentially costing hundreds of billions of dollars. The unscheduled meeting between the Treasury and the Fed, a rare occurrence, highlights the severity of the perceived threat. Meanwhile, analysts indicate that Chinese banks are taking a more cautious approach, prioritizing financial stability and closely monitoring potential contagion from the US market. Cybersecurity assessments are urged to evaluate the potential impact of Mythos on the economy and critical infrastructure.

US Treasury Secretary Scott Bessent and Federal Reserve Chair Jerome Powell convened a meeting in Washington this week with the heads of major American banks, including Goldman Sachs, Bank of America, Citigroup, Morgan Stanley, and Wells Fargo. The meeting addressed concerns about the cybersecurity risks posed by Anthropic's upcoming Claude Mythos AI model. Anthropic has warned that the model can identify and exploit software vulnerabilities, potentially impacting economies, public safety, and national security. The company has limited the model's release due to its ability to uncover thousands of vulnerabilities, some decades old, in software and applications. The meeting highlights growing anxieties about the potential misuse of AI by hackers to compromise data security.