Both the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) filed requests with the US Congress asking for increases to their annual budgets for the fiscal year beginning October 1, 2020 (FY 2021) compared to current year levels (FY 2020), according to a post by law firm Katten Muchin Rosenman.
These increases would, among other things, fund increased employee hiring at both agencies. The SEC sought an almost 5% increase in its budget for operations from approximately $1.8 billion to $1.89 billion, and the CFTC requested a 7% increase in funding from $284 million to $304 million.
The SEC said it required increased funding to respond to “continued evolution and innovation in our securities markets” and to assess and secure its use of data, including addressing cybersecurity, data analytics, and EDGAR enhancements. The CFTC also justified, in part, its request for increased funding by pointing to its proposed information technology enhancements; increased costs associated with enforcement and oversight activities related to virtual currencies; and the need to examine more frequently regulated clearinghouses dealing in digital asset products.