The US Commodity Futures Trading Commission is embracing artificial intelligence and automation to tackle its expanded responsibilities, including the oversight of cryptocurrency and prediction markets, according to testimony from Chairman Mike Selig. Despite a significant decline in the agency's workforce under the Trump administration, Selig emphasized that tools like AI will be instrumental in monitoring and investigating these markets.
The CFTC has seen about a quarter of its staff leave since 2025, but Selig claims the agency is operating more efficiently and effectively. He assured lawmakers that if additional qualified staff are needed, he will request help from the panel.
The CFTC is currently seeking to regulate the rapidly growing crypto and prediction markets, with the Digital Asset Market Clarity Act potentially elevating the agency's role in non-securities crypto trading. Selig acknowledged numerous ongoing investigations in prediction markets, emphasizing the importance of proper enforcement and the agency's zero-tolerance policy for illicit market activity.
However, some lawmakers expressed concerns that the agency's workforce is stretched too thin, particularly given its role as the primary regulator of two of the fastest-growing and most volatile markets.