David Schwartz, Ripple's former Chief Technology Officer (CTO Emeritus), commented on a 2020 paper on artificial intelligence (AI) authored by former U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler. Gensler's paper suggested that as deep learning becomes widely adopted and matures in finance, it could lead to financial system vulnerabilities and economy-wide risks.

Schwartz stated that many points in Gensler's paper "make sense," but he expressed reservations about the idea that "AI will become so smart that it will do stupid things." Previously, Apollo Chief Economist Torsten Slok warned that the widespread adoption of AI agents could trigger bank runs as they optimize user investments, and Gensler's paper also proposed that a large-scale pursuit of algorithmic perfection could undermine system stability.