Democrats are projected to win both chambers of Congress after the November 3, 2026 US midterm elections, leaving the crypto industry facing a less supportive legislative agenda despite heavy campaign spending. In Ohio, Sherrod Brown won his return to the Senate after the sector spent $63 million trying to defeat him.
Key takeaways
Democrats are projected to control the Senate and House next year.
Crypto’s $63 million effort against Sherrod Brown failed.
Elizabeth Warren is expected to lead the Senate Banking Committee.
The House retains bipartisan support for digital asset legislation.
Democrats gain ground across Congress
Democratic victories in traditionally Republican states put the party on course to control Congress’s legislative agenda. Senate gains stretched across Texas, North Carolina, Kansas, Iowa and South Carolina .
James Talarico won Texas with 59% at the latest count, while Roy Cooper took North Carolina with nearly 59%. Kansas chose Adam Hamilton, Iowa elected Josh Turek and South Carolina favored Annie Andrews over Trump-backed Darline Graham.
Democrats also flipped more than a dozen House seats in the first hours after polls closed. They were projected to exceed the 218-seat majority threshold , although the count had not reached that point at publication.
The gains followed a campaign in which crypto super PACs heavily supported Republicans and opposed Democrats, even as polling and prediction markets pointed toward Democratic advances.
Crypto spending in the US midterm elections meets a setback
The crypto industry’s $63 million campaign against Brown failed to prevent his Senate comeback in Ohio. Industry PAC spending reached $170 million ahead of the election, with a late push toward Republicans.
Another major investment went to Nebraska, where Fairshake spent almost $11 million supporting Republican Pete Ricketts. He held a narrow lead on election night with just over half the state’s vote counted.
High-profile Republican crypto supporters also faced difficult races. Representative French Hill held a narrow lead late in the Arkansas count. In Wisconsin, Representative Bryan Steil trailed by 4% as counting approached its final stages.
The sector’s spending formed part of a broader surge in political money. The Brennan Center for Justice calculated that the top 40 donors had contributed $2.4 billion by mid-October, seven times their inflation-adjusted giving in 2014. Their contributions favored Republicans three to one, reversing a two-to-one Democratic advantage in 2014.
Across industries, super PAC spending reached $2 billion by the end of September, up 51% from the previous midterm cycle after inflation, the Brennan Center found. OpenSecrets projected total midterm spending of $11.9 billion.
Senate oversight and House support point in different directions
Projected Democratic control signals a less crypto-friendly legislative agenda. Senator Elizabeth Warren , a prominent crypto critic, is expected to chair the Senate Banking Committee, which would need to approve digital asset legislation.
Democratic negotiating positions on the failed Digital Asset Market Clarity Act illustrate the policy divide. During negotiations this year, Democrats sought tighter controls on illicit finance, stronger consumer protections and limits on government officials participating directly in the industry, particularly President Donald Trump.
The House remains a more supportive venue for digital asset legislation, with substantial backing from both parties. That bipartisan support contrasts with the more difficult Senate environment facing the industry after the US midterm elections.
Hill chaired the House Financial Services Committee and led the legislative effort that secured a stablecoin law and brought the Clarity Act close to passage. Steil led the committee’s crypto subcommittee.
Article produced with the assistance of artificial intelligence and reviewed by the editorial team.
