Model Manipulation

Definition ∞ Model manipulation describes the deliberate alteration or biased influence applied to a computational model, particularly in artificial intelligence or economic forecasting, to produce specific, often misleading, outcomes. In digital asset contexts, it could involve tampering with data inputs, adjusting algorithm parameters, or exploiting vulnerabilities in a model’s design to gain an unfair advantage or distort market perceptions. Such manipulation compromises the integrity and reliability of the model’s outputs. It represents a form of deceptive practice.
Context ∞ Concerns about model manipulation are increasingly relevant in financial markets and digital asset trading, especially with the growing use of algorithmic trading and AI-driven analytics. News reports may discuss instances where models are exploited for market manipulation or where biases in training data lead to skewed predictions. Addressing model manipulation requires robust validation, transparency in algorithm design, and strong regulatory oversight to maintain fair and efficient markets.