Crypto: Clarity Act threatened after Democrats’ victory
The Clarity Act risks being blocked after the Democrats’ victory in the U.S. elections on November 3, 2026. The party won both chambers of Congress, changing the outlook for crypto regulation in the United States. In an analysis published on November 6, Galaxy Digital expects little progress on major industry reforms. Elizabeth Warren and Maxine Waters could take the helm of key financial committees.
Democrats take control of both chambers of the U.S. Congress
Galaxy Digital expects little progress on the Clarity Act and major crypto legislation
Elizabeth Warren and Maxine Waters are expected to lead two important financial committees
The election results seriously complicate the future of the Clarity Act. The bill had already failed in the Senate on September 15, with 49 votes in favor and 50 against. It needed 60 votes to clear this procedural hurdle.
Republicans had a majority in both chambers at the time. That will no longer be the case from January 2027. Democrats won seven additional Senate seats in the November 3 elections. They also secured a majority in the House of Representatives, ending two years of Republican control of Congress.
Alex Thorn, head of research at Galaxy Digital, does not expect significant progress on major crypto legislation under this new majority. The Clarity Act was intended, in particular, to clarify the SEC and CFTC’s respective roles in overseeing digital assets.
The House passed its version of the bill in July 2025, with 294 votes in favor and 134 against. In the Senate, negotiations had long focused on stablecoin rewards, developer protections, and conflicts of interest involving policymakers.
$LEU.US
$ACTG.US
$DEM.ETF
#ACT
The Clarity Act risks being blocked after the Democrats’ victory in the U.S. elections on November 3, 2026. The party won both chambers of Congress, changing the outlook for crypto regulation in the United States. In an analysis published on November 6, Galaxy Digital expects little progress on major industry reforms. Elizabeth Warren and Maxine Waters could take the helm of key financial committees.
Democrats take control of both chambers of the U.S. Congress
Galaxy Digital expects little progress on the Clarity Act and major crypto legislation
Elizabeth Warren and Maxine Waters are expected to lead two important financial committees
The election results seriously complicate the future of the Clarity Act. The bill had already failed in the Senate on September 15, with 49 votes in favor and 50 against. It needed 60 votes to clear this procedural hurdle.
Republicans had a majority in both chambers at the time. That will no longer be the case from January 2027. Democrats won seven additional Senate seats in the November 3 elections. They also secured a majority in the House of Representatives, ending two years of Republican control of Congress.
Alex Thorn, head of research at Galaxy Digital, does not expect significant progress on major crypto legislation under this new majority. The Clarity Act was intended, in particular, to clarify the SEC and CFTC’s respective roles in overseeing digital assets.
The House passed its version of the bill in July 2025, with 294 votes in favor and 134 against. In the Senate, negotiations had long focused on stablecoin rewards, developer protections, and conflicts of interest involving policymakers.
$LEU.US
$ACTG.US
$DEM.ETF
#ACT
