CFTC Chairman Says AI Helps Agency Run More Like a Business

The Commodity Futures Trading Commission (CFTC) is using artificial intelligence to boost efficiency, CFTC Chairman Michael S. Selig told a congressional committee Thursday (April 16).

Speaking during a House Committee on Agriculture hearing, Selig said AI is one of the technologies the agency is using to “run more like businesses” and to be “more efficient than ever before.”

His comments followed concerns that the agency may not have enough staff to deal with issues such as cryptocurrency and prediction markets.

Rep. Angie Craig, D-Minn., the ranking member of the committee, said in her opening statement that the CFTC’s responsibilities and markets have expanded and become more complex, and that the agency can’t keep up if it doesn’t have the staffing, funding and tools it needs.

“The agency’s workforce is stretched too thin to meet the demands placed upon it,” Craig said. “And without a sufficient staff, the CFTC simply cannot provide the rigorous oversight that consumers and market participants need.”

During his testimony, Selig said the CFTC is incorporating AI throughout the building, is training all its staff on Microsoft 365 Copilot, and is incorporating AI and automation throughout the registration process. The agency has also implemented key performance indicators to make sure new applications are handled within the required time frame.

“This is going to make their jobs much easier,” Selig said of AI. “It’s going to make them much more productive in their day-to-day tasks. It’s going to allow them to do things like create new types of workflows for more efficient operations.”

In a closing statement delivered at the end of the hearing, Craig said: “I look forward to continuing this conversation in the coming days and months and encourage my colleagues on both sides of the aisle to work together to provide the CFTC with the funding and resources it needs to do the job we have set out for it to do.”

The CFTC announced Friday (April 10) that it named the members of its newly formed Innovation Task Force (ITF), which is dedicated to advancing “clear rules of the road” for those who want to build novel products and technologies within U.S. derivatives markets.