What are the consequences of Trump's crushing defeat in the midterm elections, leaving him a lame president? The most dangerous consequence is that he is no longer accountable for his votes, and the resulting constraint on his power is fatal: First, legislation is completely paralyzed, but he has the backdoor of "executive orders." With Democrats controlling both houses of Congress, his desired tax cuts and deregulation have all fallen through. However, he can use executive orders to bypass Congress and launch surprise attacks on trade, tariffs, and even foreign policy. A lame duck without the burden of elections often acts more recklessly than before the election. Second, to divert domestic pressure from investigations, he is highly likely to seek "presence" abroad. The Democrats hold subpoena power and are preparing to settle scores with him. The more passive he is domestically, the more likely he is to take risks on the Iran issue. Once the Middle East ignites, soaring oil prices will directly trigger inflationary expectations. Third, for US stocks, it's a short-term reassurance but a long-term hidden danger. In the short term, the legislative deadlock means no aggressive tax increases or fiscal expansion, easing pressure on long-term US Treasury yields and giving tech stocks a breather. However, the long-term risks lie in the following: if he attempts to bypass Congress and centralize power, policy unpredictability will be maximized; If war breaks out in the Middle East, high oil prices will directly shatter the valuation floor of US stocks. Fourth, for the cryptocurrency market, the loss of top-level benefits means it can only rely on macroeconomic conditions. After the Democratic sweep, the legislative benefits for the crypto industry are completely nullified, compliance legislation is unlikely to advance, and it may even face more stringent regulatory investigations. Bitcoin has lost policy protection and can only return to its most familiar script: relying on the Federal Reserve's liquidity and the funds of ETFs and whales. The market may breathe a sigh of relief in the short term due to the "policy deadlock," hence the rise in Bitcoin and gold. But don't forget: a Trump who has lost the constraints of re-election and faces domestic repercussions is the biggest black swan event for global capital markets.