CFTC seeks comment on compute derivatives contracts

Possible effects of the Department of Defense acting as a buyer on the derivatives futures market (IA possibleeffectso1094510430)

The Commodity Futures Trading Commission is asking for public comment on compute derivatives contracts as it weighs oversight issues in a changing market.

The Commodity Futures Trading Commission on Tuesday issued a request for comment on the listing of compute derivatives contracts, opening a public review of how the agency should understand and oversee the market.

The commission said it wants input on a market tied to compute, which Chair Michael S. Selig linked to U.S. competitiveness in the AI race. In the agency’s view, the request is a first step toward setting clear rules for American compute markets.

The CFTC said it wants comments on the size and liquidity of compute cash markets, market oversight and manipulation concerns, customer protection and perpetual compute futures. The request also invites comment on all aspects of compute markets.

In the release, Selig said the United States cannot win the AI race without a derivatives market for compute. He added that American markets helped establish the gold standard for trading commodities that powered the industrial economy.

The commission did not provide additional procedural details in the extracted release, including any deadline for comments, proposed rule text or named market participants.

The comment period will give the agency outside views to consider as it evaluates whether and how to approach compute-linked derivatives markets.

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