Galaxy Research: Democrats Gain Control of Congress or Accelerate Crypto and AI Regulation
2026-11-07 01:06:36
According to CoinMeta, Wu said that the latest weekly report from Galaxy Research indicates that the Democratic Party's win in controlling both houses of Congress in the U.S. midterms may lead to increased regulatory scrutiny over the crypto industry and AI companies. There are expected changes in leadership for the Senate Banking Committee and the House Financial Services Committee. Galaxy believes that significant progress in key crypto market structure legislation is unlikely in the short term, while AI regulation may accelerate. Additionally, Kazakhstan announced the allocation of $100 million to crypto investment funds and $90 million to Bitcoin ETF, reflecting a trend of sovereign and long-term funds continuously increasing their exposure to crypto assets. Technologically, Anthropic released an open-source zero-knowledge reasoning verification prototype Flashprove that can verify whether AI outputs come from a specified model without disclosing the model weights. However, the computational effort required to generate proofs is currently about 70 to 95 times that of normal reasoning, so there is still a significant gap before it can be practically applied on a large scale.
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