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Home»Regulation & Policy»OpenAI Secures Contract: Anthropic Suspended in Crypto Regulation
OpenAI Secures Contract: Anthropic Suspended
Regulation & Policy

OpenAI Secures Contract: Anthropic Suspended in Crypto Regulation

Bpay NewsBy Bpay News6 hours agoUpdated:February 28, 20263 Mins Read
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OpenAI has reached an agreement with the United States Department of Defense to deploy its artificial intelligence models on classified military networks, just hours after the White House ordered federal agencies to stop using technology from rival firm Anthropic.

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In a late Friday post on X, OpenAI CEO Sam Altman announced the deal, saying the company would provide its models inside the Pentagon’s “classified network.” He wrote that the department showed “deep respect for safety” and a willingness to work within the company’s operating limits.

The announcement came amid a turbulent week for the AI sector. Earlier the same day, Defense Secretary Pete Hegseth labeled Anthropic a “Supply-Chain Risk to National Security,” a designation typically applied to foreign adversaries. The ruling requires defense contractors to certify they are not using the company’s models.

President Donald Trump simultaneously directed every US federal agency to immediately halt use of Anthropic technology, with a six-month transition period for agencies already relying on its systems.

Related: Crypto VC Paradigm expands into AI, robotics with $1.5B fund: WSJ

Anthropic Pentagon talks collapse over AI use limits

Anthropic was the first AI lab to deploy models across the Pentagon’s classified environment under a $200 million contract signed in July. Negotiations collapsed after the company sought guarantees that its software would not be used for autonomous weapons or domestic mass surveillance. The Defense Department insisted the technology be available for all lawful military purposes.

In a statement, Anthropic said it was “deeply saddened” by the designation and intends to challenge the decision in court. The company warned the move could set a precedent affecting how American technology firms negotiate with government agencies, as political scrutiny of AI partnerships continues to intensify.

Altman said OpenAI maintains similar restrictions and that they were written into the new agreement. According to him, the company prohibits domestic mass surveillance and requires human responsibility in decisions involving the use of force, including automated weapons systems.

Related: Pantera, Franklin Templeton join Sentient Arena to test AI agents

OpenAI faces backlash after deal

Meanwhile, some users on X voiced skepticism. “I just canceled ChatGPT and bought Claude Pro Max,” Christopher Hale, an American Democratic politician, wrote. “One stands up for the God-given rights of the American people. The other folds to tyrants,” he added.

“2019 OpenAI: we will never help build weapons or surveillance tools. 2026 OpenAI: department of War, hold my classified cloud instance. Integrity arc go brrrrrrr,” one crypto user wrote.

Context

Current positioning around Regulation & Policy remains sensitive to primary-source updates, policy interpretation, and execution risk across major venues.

What To Watch

Key confirmation signals now include court filings, regulator statements, and any updated compliance guidance from the involved parties.

Market participants will monitor whether legal outcomes change exchange operations, token access, or disclosure standards in major jurisdictions.

Related: More from Regulation & Policy | Blocks Retreat Signals Broader Payments Shifts | Cardone Announces Real Estate Portfolio Tokenization

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