Democrats Capture Congress, Clouding Crypto Bill's Fate

Democrats secured majorities in both the US House and Senate in the midterm elections, putting the party in position to oversee President Donald Trump's administration, according to Cointelegraph. Citing the Associated Press, the outlet reported Democrats flipped at least seven Republican-held Senate seats across Kansas, Iowa, Texas, Ohio, Maine, North Carolina and South Carolina, and captured House districts where Trump had defeated his Democratic rival by as much as 18 percentage points in 2024.

Cointelegraph, citing NBC News, said Democrats will assume control of House committees starting in January 2027, granting them subpoena authority to probe the administration and affiliated business ventures. The outlet noted that bettors on Kalshi and Polymarket had priced in roughly 75% odds of a Democratic sweep of Congress on Tuesday ahead of the final results.

Stefan Muehlbauer, CertiK's head of US government affairs, told Cointelegraph the shift makes the CLARITY crypto market structure bill likely dead. The report added that Democrats did not reach the Senate's 60-vote filibuster threshold, which constrains their ability to push legislation through unilaterally. David Gokhshtein, founder of Gokhshtein Media, said via the outlet that Republicans underperformed his expectations.

Cointelegraph's report did not clarify whether CLARITY will be formally scrapped or simply stalled, what crypto-specific legislative goals Democrats intend to pursue, what investigations a Democratic House might open into Trump-linked digital asset ventures, or whether Senate Democrats will attempt crypto-related bills despite lacking a filibuster-proof majority.