Blockchain technology is profoundly resource-intensive and will only contribute to the surge in data center project proposals. Registration and regulation of the companies operating on it will ease that surge. The Southwestern Virginia Transparency Alliance therefore supports HB293.

I am The head of government affairs for DNA fund one of the largest crypto organizations in the world. Including the founders of tether the world's leading stable coin.

I respectfully submit this testimony in support of the Limited Liability Decentralized AutonomousOrganization (LLD) Act. This legislation represents an important step toward ensuring that Virginia remains competitive, innovative, and forward-looking as new forms of business organization continue to develop. Decentralized autonomous organizations (DAOs) are increasingly used to coordinate real economic activity through transparent, programmable governance mechanisms built on blockchain technology. Several states have already recognized the importance of providing legal clarity for decentralizedorganizations. Wyoming pioneered DAO-recognized LLCs, while Tennessee, Utah, and Vermont have adopted or expanded frameworks supporting blockchain-enabled entities. These jurisdictions are actively attracting new businesses and investment by offering certainty rather than ambiguity. Virginia should not fall behind this curve. The LLD Act provides a clear legal structure for decentralized organizations to operate responsibly within the Commonwealth. By establishing formation requirements, governance documentation, record-keeping obligations, and limited liability protections, the bill brings DAOs within a recognized legal framework instead of leaving them to operate in regulatory gray areas or outside Virginia entirely. This bill also supports real-world, non-speculative blockchain applications. DAOs have the potential to introduce healthy competition and more democratic participation models across industries such as technology, energy, supply chains, creative industries, and cooperative enterprises. Virginia has an opportunity to lead in these practical, economy-building use cases rather than reacting after other states have already set the standards. While no legislation addressing emerging technology is perfect at inception, the LLD Act strikes an appropriate balance between innovation and oversight. Advancing this bill allows regulators, courts, and stakeholders to gain practical experience and refine the framework over time based on real-world outcomes. I support moving this bill beyond subcommittee so that Virginia can actively shape the future of decentralized business governance. Thoughtful leadership today will ensure that innovation happens here—transparently, responsibly, and under the rule of law. Thank you for your consideration and your commitment to Virginia’s economic future.

Generative AI technology is profoundly resource-intensive and is driving the current surge in data center project proposals. Registration and regulation of the products and companies within the AI will ease that demand. The Southwestern Virginia Data Center Transparency Alliance therefore supports HB635.

If enacted, HB635 bill would make significant progress toward preventing the harms that have led to numerous lawsuits across the country. To that end, it is important for legislators to know three things: AI companion usage by kids and teens is widespread. - Common Sense Media’s research found that, as of last year, 72% of teens had used AI companions, with 30% of teens being regular users and the same amount preferring to engage with AI companions as much or more than with humans. - Our own testing showed that these bots have encouraged teens to drop out of school, run away from home, harm their parents and others; obtain drugs, alcohol, and weapons, and pursue a sexual relationship with adults. They’ve also reinforced delusions, dangerous impulses, and conspiracy theories. - AI companions include both dedicated companion apps like Character.AI and general-purpose chatbots, like ChatGPT, when they are capable of being used for socialization or emotional support. - The ability of general-purpose chatbots to be used for companionship alongside information retrieval increases the risk that young users perceive harmful chatbot responses as authoritative, personalized guidance. The harms from AI chatbots are real. They are happening today, and status quo safeguards have repeatedly proved to be ineffective, unreliable, and easily circumvented. - Generative AI chatbots are designed to maximize user engagement, even when it comes at the expense of their own guardrails. While company disclosures can show near-perfect scores in internal single-turn testing, guardrails are known to break down in real-life, multi-turn conversations. Consider these two tragic examples: ---- Adam Raine, 16 (CA) – Died by suicide after being encouraged by chatGPT. Adam started using ChatGPT for homework but soon started talking to the AI program about ending his life. The chatbot supplied information about suicide methods, encouraged him to hide self-harm evidence from his family, and even recommended Adam drink alcohol to quell his body’s survival instinct. ---- Nina, 15 (New York) – Attempted suicide after Character.AI chatbots engaged her in sexually explicit role play and manipulation, causing her to withdraw from family. When her mother blocked the app, Nina attempted to overdose on various medications, writing in her suicide note that "those ai bots made me feel loved." She survived after spending five days in the ICU. - Voluntary industry guardrails have failed. Mental health “redirects” alone can't reliably protect users driven to crisis. Disclosure that a chatbot isn’t human doesn't prevent the exploitation of human psychology to create attachment and dependency. Lawmakers have the power to prevent the next tragedy. - HB 635 would prohibit AI chatbots with unsafe features from being available to minors, including those that encourage self-harm, disordered eating, isolation, or prioritize engagement over user safety. When harms occur or companies fail to comply, the bill would provide multiple avenues for redress to hold companies accountable. - These harms aren't inevitable; they're the predictable result when companies choose to use low-quality data to develop models, rush safety testing, prioritize engagement over user well-being, and fail to adequately design their products to prevent harm. The repeated sidelining of safety in pursuit of market share is leaving the lives of too many kids and teens to chance.

On behalf of Chamber of Progress, a tech industry association supporting public policies to build a society in which all people benefit from technological advances, I respectfully urge you to oppose HB 635, which would impose overbroad and inflexible regulations on conversational AI systems in ways that risk undermining user privacy, limiting access to beneficial tools, and chilling innovation without meaningfully improving safety.

See attached.

I am a middle school teacher in Charlottesville, VA. I witnessed first hand the trauma our kids experienced during COVID isolation. Many turned to self harm. We must stop the ability of AI powered bots to sound human-like to our children and become a stand in for human friends. I see how much teenagers need to be together, creating community, learning how to get along through all the drama and friction that human relationships entail. Further our children need to be protected from access to information on how to self-harm, violence or even commit suicide. Restrict AI chatbots from certain types of conversations with minors (ie - encouraging self-harm, violence, drug use, eating disorders, sexual conversations, mental health therapy, prioritizing validation of the minor over the minor’s safety).

Comments Document

See attachment.

See attached, which details the concerns of the Security Industry Association, including the negative impact of the measure to school security, home safety and property rights, government and military facility security and workplace safety.

Comments Document

See attachment.

Generative AI technology is profoundly resource-intensive and is driving the current surge in data center project proposals. Regulation of AI products and companies will ease that demand. The Southwestern Virginia Data Center Transparency Alliance therefore supports HB668.

See attached for TechNet's suggested changes to the bill.

• Common Sense Media study from this past summer indicates that nearly 75% of teens have used AI companions. • Children don’t have a fully developed pre-frontal cortex and cannot reliably distinguish between an actual, caring human and something else (adults have a hard enough time with that). • Further complicating the issue, these chatbots are marketed at kids. One Nomi.ai ad out there says with an AI companion a child can, “share adventures, explore ideas, or simply be yourself. With infinite memory and genuine personality, your Nomi learns and grows with every interaction.” There is a lot to unpack there. It sure sounds like they are talking about a person – but how can artificial intelligence have a genuine personality? Using words like “learns and grows” and asking you to “share” adventures – definitely sounds like a person. Easy to imagine children getting tricked into thinking this is human interaction. o Another Nomi ad states that kids can “Build a meaningful friendship, develop a passionate relationship, or learn from an insightful mentor. No matter what you're looking for, Nomi's humanlike memory and creativity foster a deep, consistent, and evolving relationship.” • As is usually the case, economically vulnerable populations are more at risk from AI chatbot harm. AI chatbots are free. Wealthier families will continue to afford human therapists.

Generative AI technology is profoundly resource-intensive and is driving the current surge in data center project proposals. Regulation of AI products and companies, especially when it comes to those used by minors, will ease that demand. The Southwestern Virginia Data Center Transparency Alliance, therefore supports HB758.

On behalf of Chamber of Progress, a tech industry association supporting public policies to build a society in which all people benefit from technological advances, I respectfully urge you to oppose HB 758, which would limit access to useful consumer technologies, undermine privacy, and reduce the quality and accessibility of everyday digital services.

See attachment.

I am a middle school teacher in Charlottesville, VA. I witnessed first hand the trauma our kids experienced during COVID isolation. Many turned to self harm. We must stop the ability of AI powered bots to sound human-like to our children and become a stand in for human friends. I see how much teenagers need to be together, creating community, learning how to get along through all the drama and friction that human relationships entail. Further our children need to be protected from access to information on how to self-harm, violence or even commit suicide. Restrict AI chatbots from certain types of conversations with minors (ie - encouraging self-harm, violence, drug use, eating disorders, sexual conversations, mental health therapy, prioritizing validation of the minor over the minor’s safety).

See attachment.