Subscribe
Logo
Logo
  • Topics Icon Topics
    • AI Icon AI
    • Banking Icon Banking
    • Blockchain/DeFi Icon Blockchain/DeFi
    • Embedded Finance Icon Embedded Finance
    • Fraud/Identity Icon Fraud/Identity
    • Investing Icon Investing
    • Lending Icon Lending
    • Payments Icon Payments
    • Regulation Icon Regulation
    • Startups Icon Startups
  • Podcasts Icon Podcasts
  • Products Icon Products
    • Webinars Icon Webinars
    • White Papers Icon White Papers
  • TechWire Icon TechWire
  • Search
  • Subscribe
Reading
The AI You Didn’t Approve Is Already at Work
ShareTweet
Home
AI
The AI You Didn’t Approve Is Already at Work

The AI You Didn’t Approve Is Already at Work

Fintech Nexus Staff·
AI
·Aug. 20, 2025·2 min read

When it comes to vibe coding with agents, a dose of caution is justified as last month’s Replit AI scandal illuminated after the agent wiped a company’s entire database (a great reminder to all to back up your data — and twice, for good measure).

While this was one of the biggest failures of vibe coding we’ve seen, for the most part, developers and average users alike have reported boundless merits from this new wave of coding agents: faster delivery cycles, less time spent on repetitive tasks, apps that appear seemingly from the ether.

But as the term “vibe coding” has increased in frequency, so too has the term “shadow IT.”

Shadow IT, the use of unsanctioned tools, often arises when employees seek workarounds to perceived limitations of the infrastructure offered by their org. And with the dawn of AI — and all the ambiguity around how, when, and if it should be used — it’s unsurprising that “shadow IT,” when it comes to AI use, is becoming increasingly common.

Earlier this month, The New Stack had reported on the emergence of vibe coding, especially as a new shadow IT trend, raising concerns around compliance and security risks.

And this week, according to Fortune, data from MIT has revealed that “workers at more than 90% of companies are using personal chatbot accounts for daily tasks, often without approval from IT, while only 40% of companies actually have official LLM subscriptions.” Meanwhile, the same report showed just 5% of genAI pilots are actually delivering ROI. 

So why this discrepancy? With so many companies experimenting with AI technology in workflows, how is it possible that these (approved) resources still fail to meet workers’ needs? 

The jury is still out, but the analysis suggested it relates to ease of use, the perception of immediate (vs long-term) value from an output, and lower barriers to experimentation. 

The takeaway, nevertheless, for enterprises and startups alike: Consult your employees. Just ask where they’d find most value. Host an open, honest conversation on the blockers that slow them down, the unfulfilling aspects of their work they wished could be automated away, and where current tools are falling short.

Today we dive deeper into one vibe coding tool that evolved from a developers’ right-hand man to a tool that makes it easy for anyone to build an app — even those without the coding know-how to correct AI’s mistakes along the way.

—The Editors

  • Fintech Nexus Staff
    Fintech Nexus Staff

    This piece was created by one of our content team members. Reach us at [email protected]

    View all posts
Tags
AI coding agentsAI compliance riskschatbot security risksenterprise AI adoptiongenerative AI in the workplacelow-code toolsMIT AI reportReplit AIshadow ITvibe coding
Related

Fractional AI’s CEO Chris Taylor on Scaling the Unscalable

Popular Posts

Today:

  • Vesey Ventures – Julia HuangWhy agentic AI will spark commerce’s next PayPal moment Apr. 10, 2025
  • Paraform Founders, Jeffrey Li and John KimFunded: Paraform raises $20M to put top recruiters, not AI, in the driver’s seat Jun. 27, 2025
  • 124Female Fintech Founders Full Speed Ahead Aug. 14, 2025
  • VercelType It, Ship It: Vercel Wants Everyone to Be a Coder Aug. 20, 2025
  • AI Nexus HeaderThe AI You Didn’t Approve Is Already at Work Aug. 20, 2025

This month:

  • Penny LeeThe Battle for Open Banking’s Future Jul. 10, 2025
  • keep-an-eye-on-these-female-fintech-founders 2 (2)Peer-Picked: Female Fintech Founders on the Rise Aug. 12, 2025
  • Fintech ForecastWhy Every Lender Should Be Using Cash Flow Underwriting Today Jul. 29, 2025
  • keep-an-eye-on-these-female-fintech-founders 2 (3)Future of Fintech: Female Founders in Focus Aug. 14, 2025
  • Jeff Radke AccelerantAs Accelerant IPOs on NYSE, CEO Jeff Radke Hopes to Usher In Insurtech 3.0 Jul. 24, 2025
  • Newsletter-graphicBig Tech’s Billion-Dollar Binge Aug. 13, 2025
  • Fintech Forecast (2)Consulting the crystal ball— which 2025 fintech predictions came true, and what’s in store for the rest of the year? Aug. 7, 2025
  • Chris Taylor Fractional AIFractional AI’s CEO Chris Taylor on Scaling the Unscalable Jul. 23, 2025
  • Nova Credit Nikki CrossNova Credit Sees BNPL Flashing Consumer Warning Signs Aug. 5, 2025
  • 122In Founders We Trust Aug. 6, 2025

  • About
  • Contact
  • Disclaimer
  • Privacy Policy
  • Terms
Subscribe
Copyright © 2025 Fintech Nexus
  • Topics
    • AI
    • Banking
    • Blockchain/DeFi
    • Embedded Finance
    • Fraud/Identity
    • Investing
    • Lending
    • Payments
    • Regulation
    • Startups
  • Podcasts
  • Products
    • Webinars
    • White Papers
  • TechWire
  • Contact Us
Start typing to see results or hit ESC to close
lis digital banking USA Lending Club UK
See all results