[US midterm election] Democracy, development of cutting-edge AI and check on virtual currency policy (comprehensive)

The Democratic Party, which won both the House and Senate in the U.S. midterm elections, is expected to keep President Donald Trump in check through a special congressional committee.

The Democratic Party will set several goals for the next two years, and the issue of controlling the pace of artificial intelligence (AI) development and virtual currency are expected to be key areas.

The U.S. Congress feels the need to regulate AI development as AI companies warn of the possibility of the end of humanity, but has not yet established a consistent position. Therefore, it is unknown when legislation to establish safety measures will be prepared.

The Democratic Party is first trying to control related technologies by investigating companies and their CEOs.

It is highly likely that Senator Maria Cantwell (Democratic Party, Washington State) will replace the existing Senator Ted Cruz (Republican Party, Texas State) as Chairman of the Senate Commerce Committee.

Representative Frank Pallone (Democrat, New Jersey) is aiming to become chairman of the House Energy and Commerce Committee. The current chairman is Representative Brett Guthrie (Republican, Kentucky). The two committees are standing committees expected to lead AI-related legislation.

Some Democratic lawmakers won battleground states with pledges to curb the construction of AI data centers and the development of advanced AI models, but opinions within the party are divided over how to regulate the AI ​​industry.

There are a variety of opinions, ranging from stopping development altogether to requiring it to undergo rigorous independent verification.

Senator Cantwell argues the latter. Meanwhile, more progressive fellow lawmakers emphasize the existential risks posed by AI and prefer to slow its development as much as possible.

As many American citizens expressed their opposition to the construction of AI core infrastructure data centers in this election, this is expected to be reflected in policy.

Along with the midterm elections on this day, opinions on data center bans or restrictions were asked in 45 small communities across the United States, and most regions passed it with more than 75% of the votes in favor.

In addition, 56% of voters in this midterm election responded that AI and data center issues were a key factor in voting.

Lawmakers are also discussing ways to protect workers who may lose their jobs due to technological advancements.

Policies related to virtual currency are also expected to change.

U.S. politicians have spent a lot of time and money creating a clear regulatory framework for the future of virtual currency, but related laws have not yet been enacted as senators and the White House have failed to reach an agreement on 'ethics provisions' that could cripple President Trump's personal virtual currency business.

In particular, with the Democratic Party intensifying its investigation into President Trump's virtual currency transactions, the future of the '2025 Digital Asset Market Clarity Act (Clarity Act)' has become uncertain as the committee chairman's succession structure has become complicated due to fierce internal conflict within the Democratic Party.

Representative Maxine Waters (Democrat, California) is a strong candidate for chair of the House Financial Services Committee, but is being challenged by Representative Sean Caston (Democrat, Illinois).

Representative French Hill (Republican, Arkansas) won re-election, which was harder than expected, and will take the position of Republican Party secretary.

The Senate Banking Committee is chaired by Senator Elizabeth Warren (Democrat, Massachusetts), who has shown a strong stance against virtual currencies, especially those related to the president.

The return of Democratic candidate Sherrod Brown, defeating Senator John Husted (Republican) in the Ohio State Senate by-election is also a painful moment for the virtual currency industry.

Candidate Brown comfortably defeated Rep. Husted and won.

Fairshake, the largest super PAC in the cryptocurrency industry, succeeded in defeating incumbent Brown by supporting Republican Bernie Moreno in the 2024 election.

In this election as well, Fairshake spent $46 million on advertising to prevent Brown's election, but it failed to prevent Brown's victory.

The New York Times (NYT) evaluated it as a 'rare defeat' and a 'big blow' to the virtual currency industry's election campaign under the Trump administration.

With this victory, Brown is likely to serve as chairman of the Senate Agriculture Committee, which has jurisdiction over digital assets and prediction markets.