According to Wu, Galaxy Research's latest weekly report points out that the Democratic Party's victory in the US midterm elections, gaining control of both houses of Congress, may lead to increased regulatory scrutiny of the crypto industry and AI companies. Leadership changes are expected in the Senate Banking Committee and the House Financial Services Committee. Galaxy believes that key crypto market structure legislation is unlikely to make substantial progress in the short term, while AI regulation may accelerate. In this election, 40 out of 41 local data center-related votes across the US resulted in unfavorable outcomes for data center development, exacerbating market concerns about the prospects for AI infrastructure investment. Furthermore, Kazakhstan announced a $100 million allocation to a crypto investment fund and a $90 million investment in a Bitcoin ETF, which Galaxy believes reflects a trend of sovereign and long-term capital continuously increasing its exposure to crypto assets. On the technology front, Anthropic released the open-source zero-knowledge reasoning verification prototype FlashProve, which can verify whether AI output comes from a specified model without disclosing model weights. However, the computational cost required to generate proofs is currently about 70 to 95 times that of normal reasoning, still far from large-scale practical application. https://(wublock123.com)/news/galaxy-research-midterm-win-may-tighten-crypto-ai-regulation-sovereign-funds-buying-71502