In 2024, the Commodity Futures Trading Commission
(CFTC) secured more than $17.1 billion in penalties, restitution, and
disgorgement. This unprecedented figure includes $2.6 billion in
civil monetary penalties and $14.5 billion in disgorgement and restitution amid
heightened focus on enforcement within both traditional and emerging markets.
Notably, the agency's actions in digital asset
commodities reportedly contributed to the new record. The CFTC's actions in the
digital asset sector were particularly notable, marking some of the largest
cases in its history.
Digital Asset Cases
Among the most significant cases was the $12.7 billion
settlement with FTX and Alameda Research, which included $8.7 billion in
restitution and $4 billion in disgorgement.
This landmark case was the largest recovery for
victims and the most substantial penalty ever imposed by the CFTC
CFTC
The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss
The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss
Read this Term. The
Commission also secured hefty penalties in cases involving Binance and its founder, Changpeng Zhao, alongside former executives like Samuel Lim.
Binance was ordered to pay a staggering $1.35 billion
in civil monetary penalties and an additional $1.35 billion in disgorgement.
The enforcement agency also moved aggressively in decentralized finance (DeFi)
and fraud cases linked to crypto markets.
.@CFTC brought 58 new actions in fiscal year 2024 and had record monetary relief of over $17.1 billion, which included $2.6 billion in civil monetary penalties and $14.5 billion in disgorgement and restitution: https://t.co/2En5bCBihP pic.twitter.com/g4TMB234qj
— CFTC (@CFTC) December 4, 2024
Commenting on the enforcement actions, the regulator's Chairman, Rostin Behnam, said: “The CFTC remains steadfast in
its duties to protect customers and vigorously oversee CFTC-regulated markets
critical to the health of the U.S. economy.”
“Misconduct in our jurisdictional markets is
rarely confined, especially as these boundaries are continually being redefined
by disruptive technology,” he continued. “I commend our Division of Enforcement for remaining
thoughtful and agile in its response to evolving markets and a growing pool of
participants.”
In FY 2024, the CFTC's focus on market manipulation extended beyond digital assets. The agency pursued a series of cases
targeting deceptive practices across various commodity markets, including
gasoline, fuel oil, and even voluntary carbon credits.
Other Sectors
In one of the most high-profile actions, the CFTC
filed fraud charges against CQC Impact Investors LLC, a carbon credit
developer, for reportedly submitting false data to inflate its carbon credit
allocations and boost revenues.
The CFTC's whistleblower program also played a
critical role in its enforcement successes. The agency issued a record number
of awards, totaling over $42 million, reflecting the growing importance of
insider tips in uncovering market misconduct.
Since 2014, the program has helped the CFTC secure
more than $3.2 billion in monetary relief through actions linked to
whistleblower information. The CFTC's record enforcement year in FY 2024
showcases its unwavering commitment to safeguarding US markets.
In 2024, the Commodity Futures Trading Commission
(CFTC) secured more than $17.1 billion in penalties, restitution, and
disgorgement. This unprecedented figure includes $2.6 billion in
civil monetary penalties and $14.5 billion in disgorgement and restitution amid
heightened focus on enforcement within both traditional and emerging markets.
Notably, the agency's actions in digital asset
commodities reportedly contributed to the new record. The CFTC's actions in the
digital asset sector were particularly notable, marking some of the largest
cases in its history.
Digital Asset Cases
Among the most significant cases was the $12.7 billion
settlement with FTX and Alameda Research, which included $8.7 billion in
restitution and $4 billion in disgorgement.
This landmark case was the largest recovery for
victims and the most substantial penalty ever imposed by the CFTC
CFTC
The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss
The 1974 Commodity Exchange Act (CEA) in the United States created the Commodity Futures Trading Commission (CFTC). The Commission protects and regulates market activities against manipulation, fraud, and abuse trade practices and promotes fairness in futures contracts. The CEA also included the Sad-Johnson Agreement, which defined the authority and responsibilities for the monitoring of financial contracts between the Commodity Futures Trading Commission and the Securities and Exchange Commiss
Read this Term. The
Commission also secured hefty penalties in cases involving Binance and its founder, Changpeng Zhao, alongside former executives like Samuel Lim.
Binance was ordered to pay a staggering $1.35 billion
in civil monetary penalties and an additional $1.35 billion in disgorgement.
The enforcement agency also moved aggressively in decentralized finance (DeFi)
and fraud cases linked to crypto markets.
.@CFTC brought 58 new actions in fiscal year 2024 and had record monetary relief of over $17.1 billion, which included $2.6 billion in civil monetary penalties and $14.5 billion in disgorgement and restitution: https://t.co/2En5bCBihP pic.twitter.com/g4TMB234qj
— CFTC (@CFTC) December 4, 2024
Commenting on the enforcement actions, the regulator's Chairman, Rostin Behnam, said: “The CFTC remains steadfast in
its duties to protect customers and vigorously oversee CFTC-regulated markets
critical to the health of the U.S. economy.”
“Misconduct in our jurisdictional markets is
rarely confined, especially as these boundaries are continually being redefined
by disruptive technology,” he continued. “I commend our Division of Enforcement for remaining
thoughtful and agile in its response to evolving markets and a growing pool of
participants.”
In FY 2024, the CFTC's focus on market manipulation extended beyond digital assets. The agency pursued a series of cases
targeting deceptive practices across various commodity markets, including
gasoline, fuel oil, and even voluntary carbon credits.
Other Sectors
In one of the most high-profile actions, the CFTC
filed fraud charges against CQC Impact Investors LLC, a carbon credit
developer, for reportedly submitting false data to inflate its carbon credit
allocations and boost revenues.
The CFTC's whistleblower program also played a
critical role in its enforcement successes. The agency issued a record number
of awards, totaling over $42 million, reflecting the growing importance of
insider tips in uncovering market misconduct.
Since 2014, the program has helped the CFTC secure
more than $3.2 billion in monetary relief through actions linked to
whistleblower information. The CFTC's record enforcement year in FY 2024
showcases its unwavering commitment to safeguarding US markets.
