The CFTC's Mitigation Credit Matrix: New Guidelines For A New Context

On February 25, 2025, the Commodity Futures Trading Commission (CFTC or the Commission) released an Enforcement Advisory (The Advisory) outlining concrete guidelines for self-reporting, cooperation, and remediation. The Advisory provides explicit guidance to companies and individuals on how to receive credits against civil penalties by self-reporting and cooperating with Commission investigations.

Summary of the Advisory

The Advisory creates two categories that the Commission will consider in determining whether, and to what extent, to discount civil monetary penalties: Self-Reporting and Cooperation.

Self-Reporting

The Advisory outlines several criteria for its evaluation of whether a party's self-report qualifies for mitigation credit. The report must be voluntary, meaning that the report was made before any threat of the violation's exposure. The report should also be made promptly, taking into consideration the party's efforts to determine the existence