Read this article on bsc.news Democrats have won control of both chambers of Congress in the 2026 midterm elections, leaving Donald Trump (@realDonaldTrump) to face an opposition-led House an
Democrats have won control of both chambers of Congress in the 2026 midterm elections, leaving Donald Trump (@realDonaldTrump) to face an opposition-led House and Senate for his final two years in office. The result complicates the outlook for US crypto legislation, in particular the stalled Digital Asset Market Clarity Act, known as the CLARITY Act.
The Associated Press called the Senate for Democrats after Josh Turek won in Iowa, bringing Democrats and allied independents to 51 seats. Cointelegraph's later tally showed Democrats at 54 Senate seats to 43 for Republicans, and 225 House seats to 136 for Republicans. Counts were still moving as results came in, so the final figures may differ.
According to Cointelegraph, Democrats flipped Republican-held Senate seats in Texas, Ohio, North Carolina, South Carolina, Kansas and Iowa. Control of the Senate could also affect confirmation of future presidential nominees to regulatory posts.
The bill was already in difficulty before election day. On Sept. 15, the Senate considered cloture on a motion to proceed to the bill. It received 49 votes in favor and 50 against, short of the 60 needed. That was a procedural vote rather than a vote on the bill's contents. All 49 votes in favor came from Republicans.
The bill had earlier passed the House. It cleared the chamber in July 2025 with a 294 to 134 bipartisan majority. It would establish a framework for digital commodities, generally assign the Commodity Futures Trading Commission oversight of those transactions, and preserve Securities and Exchange Commission jurisdiction over certain activity.
There is also a time limit. The bill must pass before the new Congress convenes on January 3, 2027, or be reintroduced, though the outgoing Congress can still try to advance it in the lame-duck session. Analysts at TD Cowen had previously said they expect no passage of the CLARITY Act for two years if Democrats win both chambers.
Ethics provisions have been a central sticking point. Senator Mark Warner voted against advancing the bill in September, arguing that crypto legislation needs safeguards against President Trump personally benefiting from the industry.
Democratic control could also bring tighter oversight. According to Cointelegraph, it could bring more congressional scrutiny of Trump-linked crypto businesses and regulators' decisions. Control of the House also brings subpoena power.
For the crypto industry, the result shifts the negotiating table. Any revived market structure bill is likely to be shaped by new committee leaders and to need Democratic votes to reach the 60-vote threshold in the Senate.
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