The first shot of the U.S. midterm elections has been fired, with the crypto industry pouring heavy funds to support Trump's pro-crypto agenda

Written by: Sanqing, Foresight News

On March 3rd (Eastern Time), the 2026 U.S. midterm primary season officially kicks off. Voters in Texas, North Carolina, and Arkansas cast the first ballots, deciding on several congressional Republican and Democratic nominees. This early battle, seen as a “continuation of the Trump era,” not only influences the balance of power in Congress but also directly impacts the long-anticipated regulatory clarity process for the crypto industry.

The crypto industry’s early and heavy involvement this cycle far exceeds that of 2024. Fairshake and its affiliated super PACs (including Protect Progress, Defend American Jobs, and others) already hold nearly $200 million in cash at the start of the year. Industry-wide investments have surpassed $288 million, aiming to secure a “pro-crypto Congress,” push remaining legislation like the CLARITY Act (Digital Asset Market Clarity Act), and prevent election-year delays from turning into permanent setbacks.

Primary Elections in Three States: Crypto PACs Target and Support

According to data from political ad tracking platform AdImpact, spending on ads related to the Texas Senate primary has exceeded $122 million, making it the most expensive Senate primary in history.

Source: AdImpact Blogs | Data as of February 27

The crypto industry’s political strategy has become highly sophisticated: supporting pro-crypto candidates while opposing anti-crypto opponents, moving away from blind party allegiance.

Texas has become one of the most critical battlegrounds for crypto. Protect Progress has announced a $1.5 million ad campaign opposing Democratic Congressman Al Green.

Green previously voted against the GENIUS Act signed by Trump and has repeatedly obstructed the CLARITY Act, earning the label “strongly anti-crypto” from Stand With Crypto. His opponent, Christian Menefee, is rated as “strongly pro-crypto.”

Crypto PACs like Web3 Forward are also supporting Democratic Senate candidate Jasmine Crockett through media ads and indirect backing worth millions.

Crockett previously supported the GENIUS Act and the precursor to the CLARITY Act (FIT21), but she has explicitly opposed the final version of the CLARITY Act.

North Carolina is also highly competitive. Crypto funds have injected $500,000 into Republican challenger Laurie Buckhout to challenge incumbent Democratic Congressman Don Davis (NC-01). Davis narrowly defeated Buckhout in 2024; redistricting has now made the district more Republican-leaning, and the industry hopes to leverage this to bring new blood into Congress.

Meanwhile, incumbent Democrat Valerie Foushee faces a primary challenge from progressive candidate Nida Allam in NC-04. Foushee previously received crypto-related donations in 2022, but this year’s primary focus has shifted to data centers and AI issues. The industry clearly aims to further overhaul the congressional financial services committee and other key positions with more aligned allies.

In Arkansas, although there are no massive single investments, the primary race for a Senate seat will influence the narrow Republican majority in the Senate—one of the key variables stalling the CLARITY Act in the Senate.

Trump’s Presidency Effect: From Candidate Promises to Presidential Action

At the start of his second term, Trump prioritized crypto as a national strategic issue. He publicly declared his goal to make the U.S. the “global crypto capital” and directly told Wall Street banks on social media to “reach good agreements with the crypto industry,” warning that otherwise, the CLARITY Act might flow to China.

White House crypto policy advisor Patrick Witt stated that regulatory clarity would unlock “trillions of dollars” of institutional funds waiting to enter.

As a result, the crypto industry’s loyalty to Trump has reached unprecedented levels. Some founders have shifted support to pro-Trump PACs like Digital Freedom Fund, and Gemini co-founders Cameron and Tyler Winklevoss have personally invested $21 million in Bitcoin.

Source: Tyler’s Tweet

The industry is no longer content with “balancing both parties” but is instead fully consolidating the Republican majority to ensure Trump’s executive orders and legislative agenda are seamlessly implemented.

If the primary results favor pro-crypto candidates in these states, Trump’s ability to push crypto policies in 2026 is expected to significantly strengthen.

Conversely, if anti-crypto or neutral candidates gain ground, Trump’s plans for Bitcoin reserves, DeFi regulation easing, and other visions could face resistance.

Crypto Legislation Progress: GENIUS Signed, CLARITY Becomes an “Election Year Gamble”

Currently, crypto legislation has achieved a milestone. The GENIUS Act was signed into law by Trump in 2025, providing clear pathways for stablecoins like USDT and USDC, greatly boosting confidence in the RWA (Real-World Asset) sector.

However, the CLARITY Act remains stuck in the Senate. The House passed it in July 2025, aiming to clarify SEC and CFTC regulatory roles, define mature blockchain assets, and open channels for institutional entry.

But the Senate Banking Committee has repeatedly delayed hearings over issues like “stablecoin yield rights,” “DeFi treatment,” and “Trump family conflicts of interest.”

Trump has personally intervened, with the White House convening multiple closed-door meetings with banking and crypto executives. Yet, with the election year approaching, the window for the CLARITY Act is closing: after July, Congress will shift into “campaign mode.”

If Democrats retake the House or if divisions emerge within the Republican Party, the CLARITY Act could be completely derailed or even trigger a regulatory backlash.

PACs like Fairshake and others are investing hundreds of millions of dollars to “buy insurance”—cleansing opposition in primaries and paving the way for final Senate votes.

Results from various districts in the three states will be announced today.