According to reports, White House technology policy official Michael Kratsios accused Moon's Dark Face of distilling Anthropic's Fable to train Kimi K3, a process where a larger model's outputs are used to train another model. U.S. Treasury Secretary Scott Bessent subsequently stated that sanctions and placement on an entity list are under consideration.
Anthropist had previously alleged in February that Moon's Dark Face interacted with Claude over 3.4 million times using hundreds of fake accounts, targeting capabilities in agent reasoning, tool use, coding, and data analysis. Moon's Dark Face has not publicly responded to the current allegations. The Chinese Embassy in the U.S. called the claims "completely baseless."