U.S. crypto and AI czar David Sacks argues that artificial intelligence poses its greatest danger when used for surveillance and government-driven information control.
Speaking on The Ben & Marc Show, a podcast by venture capital firm a16z, Sacks outlined his concern that AI could become an instrument of government control, shaping what people see and believe.
“What we’re really talking about is Orwellian AI,” Sacks said. “AI that lies to you, that distorts an answer, that rewrites history in real time to serve a political agenda.”
He warned that as AI systems evolve into personal assistants capable of learning everything about individuals, they could easily be repurposed into surveillance tools for state monitoring.
“AI is going to know everything about you… it’s the perfect tool for the government to monitor and control you,” he added. “That, to me, is by far the biggest risk of AI.”
David Sacks says the biggest risk of AI was described not by James Cameron in The Terminator but by George Orwell in 1984.
“I almost feel like the term ‘woke AI’ is insufficient to explain what’s going on because it somehow trivializes it.”
Sacks also criticized previous AI regulatory efforts, particularly those from the Biden administration and certain state governments, arguing that over-regulation risks embedding ideological bias into AI systems.
He cautioned that laws focused on “algorithmic discrimination” could unintentionally reshape AI models to fit political narratives, undermining neutrality and transparency.
Sacks proposed that instead of regulating AI creators, governments should punish misuse under existing laws. He pointed to existing anti-discrimination and data protection regulations, arguing they are sufficient to address harmful behavior.
“If someone uses AI to discriminate, they’re already breaking the law,” he noted. “We don’t need to go after the developer; we can go after the business making that decision.”
Different Approaches to AI and Crypto Regulation
While urging a hands-off approach to AI to encourage innovation, Sacks said the Trump administration remains “pro-regulation” on crypto, aiming to establish clear frameworks to support legitimate digital asset businesses.
“With AI, the idea is how do we unleash innovation,” Sacks explained. “With crypto, it’s about creating regulatory certainty so the industry can thrive.”
Sacks’ remarks highlight a growing debate over how governments should balance innovation with public safety — and whether AI’s greatest danger lies not in machines turning on humans, but in humans turning machines into instruments of control.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.
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