Essential

CFTC

Commodity Futures Trading Commission - US regulator for derivatives and forex.

Definition

CFTC (Commodity Futures Trading Commission) is the US federal agency that regulates commodity futures, options, and retail forex markets. Along with the NFA, it provides some of the strictest broker regulations globally, including 50:1 leverage limits.

How It Works

Regulates US futures and forex markets
Maximum 50:1 leverage on major forex pairs
No hedging allowed (FIFO rule applies)
Works with NFA for broker registration

Trading Tips

Very few forex brokers accept US clients due to strict rules

US traders have strong protections but fewer broker choices

Check NFA BASIC database to verify broker registration

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