As artificial intelligence image and voice generators become indistinguishable from reality, the debate over AI watermarking has exploded onto the regulatory main stage. Watermarking involves embedding a permanent, cryptographic tag into the metadata or pixels of a file to instantly identify it as machine-generated. A proponent would support this as a necessary defense against mass disinformation, deepfake scams, and the total erosion of digital trust. An opponent would oppose this mandate, arguing it creates a false sense of security since hackers can easily strip the watermarks, ultimately burdening open-source developers while failing to stop actual malicious behavior.