(By You Yunting) Recently, news that Character.AI (“Character”), a U.S. AI AI companion company, has entered bankrupt and that its data assets may be sold out at auction has drawn wide attention. What is striking, however, is not the bankruptcy but the proposed sale itself. Character’s principal business is an AI character-based companion chat platform, and its platform data includes a large volume of emotional chat records between users and AI—content that is not only private but often pornographic or violent, and at times revealing the darker side of human nature. Yet prospective buyers in the United States are seeking to acquire them. This article examines the legal issues raised by auctioning such records.