The US Commodity Futures Trading Commission is embracing artificial intelligence and automation to tackle its growing oversight responsibilities, according to Chairman Mike Selig's congressional testimony, despite a significant decline in the agency's workforce under the Trump administration. Since 2025, about a quarter of the CFTC's staff has departed, due to President Trump's demands for a reduced federal workforce, as per agency records. However, the CFTC is also being tasked with regulating the rapidly expanding cryptocurrency and prediction markets. Selig stated that AI tools, such as Microsoft's Copilot AI, are being utilized to enhance surveillance and investigations, and that the agency is operating more efficiently despite the staff reductions.

The House Agriculture Committee expressed concerns about the agency's ability to handle its growing workload, particularly with regards to digital assets and prediction markets. Chairman Glenn 'GT' Thompson requested assurance that Selig would seek assistance if the need for additional qualified staff arises. Selig confirmed that proper market enforcement is a top priority, although the CFTC's budget request for the next year only includes three additional enforcement staff, which is still 23% short of the 140 personnel the division had in 2025. The Digital Asset Market Clarity Act, currently being worked on by the Senate, would elevate the CFTC's role in overseeing non-securities crypto trading, including transactions involving leading assets such as bitcoin and Ethereum.

The agency is also claiming jurisdiction over prediction markets, which have grown from millions to billions of dollars in the past year. Selig acknowledged numerous ongoing investigations in the prediction markets, but did not provide further details. He emphasized that regulated platforms are the primary line of defense against insider trading, fraud, and market manipulation, while the CFTC serves as a secondary line of defense. The committee's top Democrat, Representative Angie Craig, argued that the agency's workforce is overstretched, particularly given its role as the primary regulator of two rapidly growing and volatile markets.

Craig emphasized the need for the CFTC to receive adequate staff, funding, and statutory authority to perform its duties effectively.