Does Armstrong's/your proposal reduce to "Give the AI a utility function that cares about nothing beyond the next hour, restrict its output to N bits, and blow up the rest of the computer afterward"?

The other important part that was mentioned (or, at least, w was that it is not allowed to (cares negatively about) influencing the world outside of a spacial boundary within that hour except via those N bits or via some threshold of incidental EM radiation and the energy consumption it is allocated. The most obvious things this would seem to prevent it from doing would be hacking a few super computers and a botnet to get some extra processing done in the hour or, for that matter, getting any input at all from external information sources. It is also unable to recursively self improve (much) so that leaves us in the dark about how it managed to become an oracle in the first place.