The Legal Turning Point of Crypto in the US in 2026: From Controversy to Implementation

After years of ambiguity and legal disputes, the crypto industry in the US enters 2026 with a clearer direction than ever before. A series of significant legislative milestones, new regulations, and political changes are gradually shaping how digital assets are managed, traded, and applied across the United States. During President Donald Trump’s second term, Washington has shown a considerably more open stance towards crypto. Regulatory agencies that are more industry-friendly have taken key positions, legal pressures on major crypto companies have significantly decreased, and the banking system finally has a clear framework to provide custody services for digital assets. All these are laying the groundwork for 2026 to become a pivotal year for crypto policy in the US. January: The Breakthrough Moment Right at the start of the year, reform momentum emerges. The US Senate is expected to restart hearings on the long-delayed crypto market structure bill, notably the CLARITY Act. The core goal of this bill is to end the ongoing dispute between the SEC and CFTC by clearly defining which agency regulates each segment of the crypto market. White House crypto advisor David Sacks stated that this bill is “closest to being passed” compared to any previous time. If approved early in 2026, the focus will quickly shift from political debate to practical implementation and compliance. Also in January, the US Securities and Exchange Commission could make a significant breakthrough. SEC Chairman Paul Atkins has committed to introducing an “Innovation Exemption” mechanism, allowing crypto startups to test new products with lighter legal requirements while still ensuring basic user protections. This could resolve the legal bottleneck that has hampered product launches for many years. Stablecoins and Crypto Taxation Gradually Take Shape Regulations on stablecoins will be the next major focus. The GENIUS Act passed in 2025 laid the federal groundwork for payment stablecoins, but most details are still awaiting regulatory guidance. By mid-2026, licensing, custody, capital, and compliance requirements are expected to be finalized, reshaping how USD-pegged stablecoins operate in the US. Meanwhile, crypto tax policies are also under review. Congress is discussing proposals to reduce tax friction on staking, crypto lending, and daily payments. Notable ideas include tax exemptions for small-value stablecoin transactions and clearer guidance on taxing income from lending activities. Concrete steps may emerge by the end of summer. Federal and State-Level Drivers Macroeconomic policies could also significantly impact the crypto market. Federal Reserve Chair Jerome Powell’s term ends in May, and President Trump is expected to appoint a successor more open to interest rate cuts. Low-interest environments are generally favorable for risk assets like Bitcoin, although inflation pressures remain a factor to monitor. At the state level, crypto regulation activities are accelerating. California’s Digital Asset Law will officially take effect on July 1, requiring crypto companies serving residents to obtain licenses. Meanwhile, states like Texas are pushing plans to reserve Bitcoin, indicating an increasing role for local governments within the digital asset ecosystem. Risks from the Midterm Elections The biggest unknown of the year lies in November. The US midterm elections could change the composition of Congress, directly affecting the progress of pending crypto legislation. Although bipartisan support for establishing a legal framework for digital assets has improved, any shift in power could slow down or weaken reforms. However, at present, 2026 is emerging as a milestone when US crypto policy shifts from debate to implementation. This promises long-term changes in how the industry operates, expands, and builds trust with traditional financial markets.