The second quarter of 2026 is set to be pivotal for the cryptocurrency industry with several significant regulatory and political events on the horizon. On May 1, the U.S. Senate faces a crucial deadline for advancing the Clarity Act, while the SEC's proposed "innovation exemption" for crypto firms is expected to be finalized soon. Additionally, Federal Reserve Chair Jerome Powell's term ends on May 15, with nominee Kevin Warsh anticipated to adopt a more dovish monetary policy, potentially affecting crypto and other risk assets. From mid-May to the end of June, congressional candidates backed by crypto super PACs will undergo primary elections. Furthermore, on July 1, the EU's MiCA regulation transition period concludes, requiring non-compliant crypto asset service providers to exit the market.