Mark Cuban proposes AI token tax to offset Social Security funding shortfall
Financial legend Mark Cuban has proposed a federal tax on AI tokens to address the looming funding gap in the Social Security system. As the workforce shrinks and automation replaces human workers, the program is expected to face a significant shortfall, potentially leading to a 22% benefit cut in the near future. Cuban argues that a tax of less than 50 cents per million AI tokens could generate approximately $10 billion annually, helping to offset lost payroll tax revenue. While some experts, such as Anduril founder Palmer Luckey, warn that the tax could burden U.S. companies, other lawmakers are seeking different paths to solvency. A bipartisan group of senators, including Dick Durbin and Bill Cassidy, introduced the PROMISE Act to fast-track Social Security reforms. However, AARP expressed opposition to the fast-track process, arguing that the program deserves the standard legislative scrutiny of regular order. Lawmakers face a choice between innovative taxes, fast-tracked reforms, and traditional legislative debate to secure the program's long-term solvency.