The U.S. Commodity Futures Trading Commission is embracing artificial intelligence and automation to tackle its growing oversight responsibilities, according to Chairman Mike Selig's testimony before Congress. Despite a significant decline in the agency's workforce under the Trump administration, with approximately a quarter of staff departing since 2025, the CFTC is leveraging AI tools to enhance its surveillance and investigative capabilities. Selig noted that the agency is incorporating AI into its workflows, citing the widespread use of Microsoft's Copilot AI tool as a key productivity aid.
The CFTC is also assuming a central role in regulating non-securities crypto trading and prediction markets, with the Digital Asset Market Clarity Act potentially elevating the agency's authority. Selig acknowledged numerous ongoing investigations in prediction markets, emphasizing the importance of regulated platforms as the first line of defense against insider trading and market manipulation. However, some lawmakers expressed concerns about the agency's stretched workforce and limited resources, calling for increased funding and staffing to ensure effective oversight of the rapidly growing crypto and prediction markets.