Masters in Business

How AI Could Freeze Progress with Hilary Allen

31 snips
Feb 20, 2026
Hilary Allen, a law professor focused on banking, securities and tech law and author of FinTech Dystopia. She questions fintech hype, explains how legal design and venture capital shape tech, and critiques crypto and AI as overhyped. She warns AI could freeze legal and creative work and contrasts narrow medical AI wins with risky LLM applications.
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INSIGHT

Subsidies Distort Market Selection

  • Subsidized venture capital disrupts market selection, letting weak or risky models survive.
  • Allen argues crypto survived because VC war chests funded lobbying and regulatory capture, not product-market fit.
INSIGHT

LLMs Are Predictors, Not Thinkers

  • Large language models are statistical pattern engines, not reasoning machines, and hallucinate.
  • Allen warns LLMs cannot ensure factual accuracy and will keep making mistakes despite polish.
ADVICE

Learn To Spot AI Hallucinations

  • Train to spot AI hallucinations and retain domain skills rather than outsourcing judgment to models.
  • Allen cautions educators to teach critical review so younger professionals can detect AI errors.
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