#US President Donald #TRUMP is signaling a new era in economic policies after his 2025 election victory, and is preparing to announce the name of Fed Chair Jerome Powell's replacement earlier than expected. This surprise move has alarmed both Wall Street and cryptocurrency markets.
According to the special report by the Wall Street Journal, Trump is no longer hiding his anger at Powell for not making interest rate cuts quickly enough. Trump, who normally plans to postpone the announcement of the new president in September-October until the summer months, wants to make a transition to the post-Powell era as quickly as possible.
🎯 Trump's Candidate List Leaked: Crypto Friends and Foes Side by Side!
Here are the prominent names for the Fed seat and their public stance on cryptocurrencies:
🟩 Kevin Hassett - "Coinbase Advisor, Bitcoin Friend!"
Kevin Hassett, one of Trump's economic advisors, is a figure that inspires hope in the crypto community. He has both been a consultant at Coinbase and has been documented to have more than $1 million in shares from the exchange.
During his tenure at the helm of the National Economic Council, he led a working group that developed regulations aimed at strengthening the US’s digital asset leadership. If Hassett becomes president, a more innovative and encouraging approach to the crypto sector is likely to be adopted.
📈 Market Impact: Strong bullish signal in the short term for Bitcoin and crypto stocks!
🟩 Scott Bessent – “Bitcoin Should Be Our Strategic Reserve!”
Trump’s Treasury Secretary Scott Bessent is perhaps the name that has given the most open support to cryptocurrencies among the candidates. Drawing attention by saying “Crypto is freedom,” Bessent said in a statement last March:
“Instead of selling Bitcoin, we should add it to the US reserve.”
He also argues that stablecoins will strengthen the global dominance of the dollar and describes digital assets as “the world’s greatest economic innovation.”
📈 Market Impact: It could open the door to a historic rise for Bitcoin. The US's crypto leadership could be reshaped.
🟥 David Malpass - "Crypto is Speculation"
Former World Bank president David Malpass has a skeptical stance on the areas of use of cryptocurrencies. In a statement he made in 2023:
"The economic value that Bitcoin offers has not yet been proven."
Malpass, who sees crypto as a speculative asset class, argues that central banks should maintain their competitiveness against this technology.
📉 Market Impact: It could create selling pressure in the short term. Bitcoin may trend downward.
🟥 Christopher Waller - "Like a Baseball Card... Its Value is Based on Belief"
Christopher Waller, currently one of the Fed's directors, is one of the leading names that harshly criticizes crypto assets. According to him:
"Crypto assets are just like baseball cards. Their value is determined entirely by belief."
Waller is also against the idea of a central bank digital currency (CBDC). He argues that the state's involvement in this business will kill innovation in the private sector. He also states that regulations should be tightened against the sector, citing past crypto bankruptcies.
📉 Market Impact: It could cause a loss of confidence in the crypto market and capital flight.
❓ Kevin Warsh - Uncertain Status
Former Fed governor Kevin Warsh is one of the names who has spoken very little about cryptocurrencies in public. However, it is known that he opposed "inflationary monetary policies" in the past. Although he has not directly expressed support or opposition to alternative assets such as Bitcoin, he is known for his Wall Street-friendly identity.
📊 Market Impact: Neutral - market reaction may be limited until he reveals a clear crypto policy.
🇺🇸 How Does the Fed Presidential Election Process Work?
Trump will present his candidate for the Fed Presidency to the Senate. The Senate Banking Committee will hold hearings on the nominee, and then a vote will be taken in the Senate plenary session. The nominee will be officially appointed with the approval of the majority. The term of office of the Fed Chair is 4 years.
🚨 What Will Be the Outcome for Crypto Markets?
The name that Trump chooses will determine not only interest rate policy, but also the fate of the cryptocurrency sector in the US. In particular, the appointment of a crypto-friendly name such as Bessent or Hassett could ease the regulatory pressure of the SEC, pave the way for spot ETFs and lead the US to leadership in digital assets.
Conversely, the preference of skeptical candidates such as Waller or Malpass could create serious volatility in the market.
🚀 Final Word: This Election Could Change Not Only the Economy, But Also the Fate of Bitcoin
Trump's early Fed chair move will be decisive for the dollar, interest rate, inflation and crypto markets. Cryptocurrencies, in particular, will either transition to a bull season or face a deep correction depending on the name to be chosen.