The US Commodity Futures Trading Commission is embracing artificial intelligence and automation to tackle its expanding regulatory responsibilities, according to Chairman Mike Selig's congressional testimony. Despite a significant decline in the agency's workforce under President Donald Trump's administration, with about a quarter of staff leaving since 2025, the CFTC is leveraging tools like AI to enhance surveillance and investigations. Selig noted that the agency is 'running more efficiently and effectively' and incorporating AI into its workflows, citing the use of Microsoft's Copilot AI tool. 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 the agency is prioritizing enforcement and will seek help if needed. The CFTC is currently pursuing a preliminary rule process to establish guidelines for US prediction markets and has launched numerous investigations into potential insider trading and market manipulation. Despite the agency's reduced staffing, Selig emphasized his commitment to enforcing the markets and ensuring the integrity of these rapidly growing arenas.