The Commodity Futures Trading Commission (CFTC) is one of the major federal financial regulators in the United States, along with the Securities and Exchange Commission (SEC), Federal Deposit Insurance Corporation (FDIC) and the Federal Reserve Board (Fed, or FRB).
The CFTC, as its name suggests, has jurisdiction over commodity markets, which includes everything from spot markets on corn, wheat and oil, to futures on commodities, to futures for cash settlement, to event contracts. The CFTC also regulates swap markets (except security-based swaps, which are regulated by the SEC).
The CFTC is led by a Chair and four Commissioners appointed by the President of the United States. The Chair and two of the Commissioners tend to come from the party of the President, while two other commissioners tend to come from the opposition party.
CFTC responsibilities are manifold. Their Department of Clearing and Risk (DCR) regulates Derivatives Clearing Organizations (DCOs) and other major parties to ensure that they can safely process user funds. Their Department of Market Oversight (DMO) oversees derivatives markets, reviews applications for Designated Contract Markets (DCMs) and regulates exchanges to ensure that their offerings and practices are consistent with CFTC best practices. Their Department of Enforcement (DOE), as their name implies, is responsible for investigating and punishing behavior that is contrary to CFTC regulations, such as fraud or offering markets in contravention with the Commodity Exchange Act.