Binance founder and former CEO Changpeng Zhao has called on national governments to explore the use of artificial intelligence tools, particularly large language models (LLMs), to simplify their legal systems.
In a post on July 10 on X, Zhao argued that AI could play a crucial role in making legal rules easier to understand and more accessible to the general public.
According to him, many countries have accumulated layers of complex, conflicting laws over time that legal experts often shape through patchwork amendments.
As a result, the current legal system has become 'huge, patchy, supplementary, and often deliberately complicated.'
Zhao points out that this makes it nearly impossible for non-lawyers to fully understand their rights and obligations.
However, he believes this could change with the advent of LLMs.
Large language models are advanced AI systems like OpenAI's ChatGPT, which can be trained on extensive legal texts. This will allow these tools to read, analyze, and rewrite dense legal documents into simpler formats.
As a result, these AIs could identify inconsistencies, streamline provisions, and interpret technical language, making the law more understandable for the average user.
AI Will Not Replace Lawyers
Despite being very enthusiastic, Zhao still asserts that AI should not be seen as a replacement for human lawyers.
Instead, he positions these technologies as assistants that can handle routine tasks while freeing legal professionals to focus on more complex and higher-risk work.
According to him:
"There could be up to 1000 companies manufacturing spacecraft, instead of just a few current companies. We could experiment with more drugs to cure cancer. Flying cars... All of this requires a lot of legal procedures."
Meanwhile, market observers warn that while LLMs offer tremendous utility, they also have drawbacks.
Current versions still face challenges such as hallucinations or situations where AI generates inaccurate or misleading information. They argue that this reinforces the ongoing need for legal experts who can interpret, verify, and contextualize the law.