Democrats in Congress: the CLARITY crypto bill up in the air

Livestream hosted by Fernando Molina on the Territorio Blockchain channel.

The midterm elections held in the United States on November 3, 2026 have reshaped the political landscape on which crypto regulation depends. In this analysis, Fernando Molina of Territorio Blockchain reviews what has happened following the Democratic victory in the House of Representatives (and, according to projections, in the Senate as well) and what happens now with the CLARITY Act, the major market structure legislation for crypto assets, which expires on January 3, 2027 unless someone rescues it.

What happened in the midterm elections

The outcome of the midterms leaves control of Congress in Democratic hands, with the House of Representatives already decided and the Senate heading in the same direction according to projections reported by US media. The shift in majorities comes at a delicate moment for the industry’s legislative agenda, which had pinned much of its regulatory hopes on this congressional term.

The CLARITY Act and the January 3 deadline

The CLARITY Act is an attempt to set clear rules on who oversees what in the US crypto asset market: the division of authority among regulators, the classification of assets and the operating framework for platforms. Its passage was not completed in the Senate, and the text has an expiration date: January 3, 2027. If no one moves it forward before then, the process goes back to square one and would have to start over with the new composition of Congress.

What doesn’t change: stablecoins and tokenized stocks

Not everything is on hold. The GENIUS Act, which regulates stablecoins, has already been passed and continues on its course regardless of the election outcome. The same goes for the progress of tokenized stocks, driven by the SEC’s innovation exemption for trading tokenized NMS securities. These are two pieces that will keep operating regardless of what happens with market structure.

What it means for Spain and Latin America

Although this is US politics, the US regulatory framework sets the pace for the global industry: it shapes exchanges, stablecoin issuers and the institutional appetite that ends up reaching European and Latin American markets. For the average user, the effect is indirect but real: more or less certainty about the products available and about the speed at which traditional finance integrates with digital assets.

Frequently asked questions

What is the CLARITY Act?

It is the US legislative proposal on crypto market structure, designed to clarify regulatory authority and the rules of the game for the sector. It did not make it through the Senate and expires on January 3, 2027.

Does this affect stablecoins?

Not directly: the GENIUS Act, which regulates stablecoins, is a separate law and has already been passed.

What about tokenized stocks?

No: their development depends on the exemption granted by the SEC for trading tokenized NMS securities.

This content is for informational purposes only and does not constitute financial advice.

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