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Imagine that somebody sold you text that they mislead you to think is not generated by AI and then trying to convince court that they didn't mislead you intentionally. If they've removed the watermark it stops this kind of defense.

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Why not have our devices generate watermarks for everything? That way, we won’t have any kind of defence.

That's what is going on with images taken. iPhone and other cameras now have a per device cryptographic signature. https://c2pa.org/

Soon images taken without this signature will be unpresentable to the court.

That's already on the books... misrepresentation of the product sold... or does the EU doesn't have that?

Generally doing something intentionally or unintentionally might have different penalties.

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