Audit Trails for LLM Apps: What Regulators Really Demand

Short summary

Regulators demand tamper-evident audit logs linking user input to AI output, not model interpretability or explainability. Implement append-only systems (Kafka, Azure Immutable Blob, S3 Object Lock) with JSON-LD schemas to satisfy EU AI Act Article 10, UK ICO guidance, and US NIST RMF requirements. Annual infrastructure cost is ~$4k; organizations report median ROI of $50.4k/year in avoided compliance fines.

• •Regulatory bodies enforce audit-trail compliance through citation and fines, not model explainability
• •Append-only infrastructure (Kafka, cloud immutable storage) prevents tampering and costs ~$4k/year
• •Average ROI is $50.4k/year from avoided compliance penalties

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