The US Commodity Futures Trading Commission is leveraging artificial intelligence and automation to cope with significant new responsibilities, according to Chairman Mike Selig's testimony before Congress, despite a substantial decline in the agency's workforce under President Donald Trump's administration. With about a quarter of the CFTC's staff departing since 2025 due to federal workforce reduction demands, the agency is tasked with overseeing rapidly growing cryptocurrency and prediction markets. Selig emphasized that AI tools will be instrumental in surveillance and investigations, pointing to the use of Microsoft's Copilot AI as a productivity enhancer.
When questioned about staffing declines, Selig asserted that the agency is operating more efficiently and effectively. The House Agriculture Committee expressed concerns about the CFTC's capacity to handle its expanded role, particularly with the potential passage of the Digital Asset Market Clarity Act, which would centralize the agency's authority over non-securities crypto trading. The CFTC is also asserting its jurisdiction over prediction markets, which have faced accusations of insider trading.
Selig acknowledged multiple ongoing investigations but did not provide specifics. While the chairman emphasized the agency's zero-tolerance policy for illicit activities, committee members argued that the CFTC's workforce is stretched too thin and requires additional staff, funding, and clear statutory authority to effectively regulate these volatile markets.