Crypto: Jay Clayton, the Man Who Took on Ripple, Named AI Tsar by Trump
From crypto regulation to AI policy. Donald Trump announced on Sunday, October 4, the creation of the "Super Intelligence Force", a group tasked with coordinating federal action on artificial intelligence (AI). Jay Clayton, now the Director of National Intelligence, will lead it.
The former SEC chairman remains associated with the early major U.S. lawsuits against the crypto sector, notably the one initiated against Ripple in December 2020.
Key Points
- Donald Trump has created a federal task force on AI, led by Jay Clayton, the Director of National Intelligence.
- The former head of the U.S. securities regulator launched 57 actions against the crypto sector between 2017 and 2020.
- The lawsuit against Ripple, opened in late 2020, resulted in a fine of $125 million and the abandonment of appeals.
- The team has four months to propose a framework for AI oversight.
Trump Assigns Jay Clayton to an AI Task Force
The new team is expected to contribute to maintaining U.S. leadership in AI, while also considering its risks. Donald Trump prefers the term "Super Intelligence" to describe this technology. However, his announcement does not establish a general ban on the term "artificial intelligence" in official documents.
The group also includes Andrew Ferguson, Chairman of the Federal Trade Commission, Emil Michael, Head of Research and Engineering at the Pentagon, and Scott Kupor, Director of the federal agency responsible for human resources. It reports to the President and Susie Wiles, Chief of Staff at the White House.
Its mission includes exchanges with consumers, associations, religious organizations, critical infrastructure operators, and AI companies. The announcement follows a meeting with tech leaders, accompanied by a voluntary agreement on their responsibilities.
According to The Wall Street Journal, the team has 120 days to assess the risks and opportunities of AI, and then formulate recommendations on the role of the federal government. This mandate thus exceeds merely preparing a supervisory framework.
  Jay Clayton Becomes the New AI Tsar of the Trump Administration -- Source: X Account
Ripple and Tornado Cash: The Crypto Journey of the New Head
Jay Clayton chaired the SEC from 2017 to 2020. During his tenure, the agency initiated 57 proceedings related to cryptocurrencies, token fundraising, and other blockchain projects, according to the report in the source.
The Ripple case remains the most well-known. In December 2020, the SEC accused the company and two executives of conducting over $1.3 billion in unregistered XRP sales. This amount referred to the sales targeted by the complaint, not a fine of $1.3 billion.
The court then distinguished the categories of transactions. It considered institutional sales as unregistered securities offerings, unlike programmatic sales on exchanges. The court imposed a sanction exceeding $125 million.
After the SEC, Clayton advised One River Asset Management and joined the advisory board of Fireblocks. Then, at the head of the federal prosecutor's office in Manhattan in 2025, he oversaw the prosecution against Roman Storm. The developer of Tornado Cash was found guilty of conspiracy to operate an unlicensed money transmission service.
This appointment places a former financial regulator at the center of U.S. coordination on AI. His experience combines sanctions, corporate advisory, and criminal prosecutions. However, the new mission focuses on evaluating a technology and federal action: it does not, by itself, constitute a sanctions program comparable to the SEC's crypto proceedings.
-- Price
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