The US Commodity Futures Trading Commission is embracing artificial intelligence and automation to tackle its expanding responsibilities, as stated by Chairman Mike Selig in his congressional testimony. Despite a significant decline in the agency's workforce under the Trump administration, with about a quarter of the staff leaving since 2025, the CFTC is leveraging AI tools like Microsoft's Copilot to enhance efficiency. Selig emphasized that the agency is 'running more efficiently and effectively' and that AI will be instrumental in surveillance and investigations. The CFTC is facing new challenges in regulating cryptocurrency and prediction markets, with Chairman Glenn 'GT' Thompson expressing concerns about the agency's capacity to handle these responsibilities.
Selig assured lawmakers that proper enforcement of the markets is a top priority and that the agency will request additional support if needed. The CFTC is currently pursuing a preliminary rule process to establish guidelines for US prediction markets and is also involved in regulating cryptocurrency transactions.
The agency's budget request for the next year includes a modest increase in enforcement staff, but lawmakers argue that more resources are necessary to effectively oversee these rapidly growing markets.