The Spot the Fakes Act requires anyone who creates or distributes AI-generated content to label it as such using metadata or other technological methods that verify its origin. The labeling requirement applies to all forms of AI-generated material, including images, videos, audio, text, and other media. The Federal Trade Commission, working with the National Institute of Standards and Technology, has six months after the bill's enactment to issue regulations specifying how these labels should be displayed. Violations of the labeling requirement would be treated as unfair or deceptive practices under existing FTC authority, allowing the agency to enforce the rule and impose penalties on violators. The legislation targets content creators and distributors but does not specify direct funding for implementation or enforcement.
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