According to Banking Exchange, major banks and financial associations are advocating for the establishment of a federal AI law that would supersede the patchwork of state regulations currently governing AI technologies. The financial industry argues that a unified federal approach is necessary to ensure consistency in the application of AI regulations across the country, which is particularly important for institutions operating in multiple states. The article discusses the challenges posed by varying state laws, such as differing requirements for transparency, data protection, and ethical AI use, which can create compliance burdens and increase costs for financial institutions. By lobbying for a federal AI law, these banks hope to streamline compliance processes, reduce regulatory complexity, and promote innovation in AI applications within the financial sector. The push for federal legislation reflects broader concerns about the fragmented nature of AI regulation in the U.S. and the need for a more cohesive legal framework.