# What is CFTC?

> The CFTC (Commodity Futures Trading Commission) is the US federal regulator of futures, options and swaps markets, relevant to prop firms offering futures or US-facing products.

- Source: https://pipvalley.com/glossary/cftc
- Publisher: PipValley - web design studio for prop trading firms
- Updated: 2026-10-03

For prop firms, the CFTC matters in two ways. Futures prop firms operate in markets the CFTC oversees, and its rules on presenting simulated results, such as the hypothetical performance legend in CFTC Rule 4.41, are widely reflected in futures prop firm disclosures.

The CFTC also brought an enforcement action in 2023 against Traders Global Group, the operator of My Forex Funds, which drew industry attention to how retail prop firms are structured. The case was later dismissed after the court sanctioned the agency; read the docket and orders rather than summaries before drawing conclusions.

Whether and how CFTC rules apply to a given prop firm depends on its structure, products and customers; this is a question for US counsel.

## Why it matters

If you sell futures evaluations or accept US traders, US regulation is part of your risk model. Use the hypothetical performance legend where it applies, avoid claims about real capital you do not provide, and get US legal advice on structure before launch rather than after a complaint.