After the midterm elections, will the crypto industry face more investigations

Democrats are projected to win the House (94% on Kalshi) and Senate (75%) in the 2026 midterms, just days after a ~$6.3 billion hack hit Binance, shifting Congress from crypto legislation like the CLARITY Act toward subpoena-driven investigations led by Elizabeth Warren and Maxine Waters. Likely targets include Trump-family ventures World Liberty Financial and the $TRUMP memecoin, Binance's security and CZ's pardon, and prediction markets Kalshi and Polymarket, where Donald Trump Jr. holds advisory roles and where sports and parlay bets make up ~84% of Kalshi's volume versus 0.5% for election contracts. The STOP Corrupt Bets Act, which would ban election, sports, government-decision and war-conflict contracts, threatens that core business, while a federal-state jurisdictional fight over prediction-market oversight could extend scrutiny to the CFTC itself. Separately, agency rulemaking continues: the SEC's innovation exemption lets qualifying venues trade tokenized US equities onchain, and CFTC Chair Michael Selig has opened single-stock perpetual futures to registered US exchanges, with Payward (via Bitnomial), Lighter and ICE-backed Trade[XYZ] pursuing approvals. Watch whether hearings translate into legislation or mere theater, whether Warren's pressure on the CFTC's enforcement record slows approvals, and whether escalating Iran and Hormuz tensions overtake Washington as the dominant macro driver for risk assets.