Here is Why the Next Trump-Picked Fed Chair Can Be Bullish for Crypto

The race to appoint the next chair of the United States Federal Reserve has taken a sharp turn. While Christopher Waller was believed to be the clear favorite, former White House economic adviser Kevin Hassett has now moved ahead as the frontrunner. 

His rise has triggered major attention not only among traditional economists but also across the crypto industry.

The reason is clear. Hassett has deep ties to crypto, including advisory work for Coinbase and more than $1 million in Coinbase stock. 

As Trump evaluates his final choices, investors are wondering what a crypto-aligned Fed chair could mean for markets. The answer points toward one conclusion. This development could be strongly bullish for crypto.

Key Takeaways

• Kevin Hassett is now leading the shortlist to become the next US Federal Reserve chair.
• Hassett has advised Coinbase and holds more than $1 million in Coinbase stock.
• He publicly criticized the Fed for being too slow to cut interest rates and has said he would lower them immediately.

Who Is Kevin Hassett?

Kevin Hassett is a well known economist who served as director of the White House National Economic Council in 2025. He is regarded by Trump allies as closely aligned with the president’s economic vision. 

Hassett has consistently argued that the Federal Reserve should cut rates more aggressively to support growth.

His public comments reflect a willingness to ease monetary policy far sooner than current Fed leadership. On Fox News, he said that he would already be lowering interest rates if he were in charge. This makes him fundamentally different from Jerome Powell, who has taken a slower approach to easing.

Hassett’s financial disclosure from June revealed something more surprising. He previously advised Coinbase and holds more than $1 million in Coinbase stock. 

He also received $50,001 in compensation for serving on Coinbase’s Academic and Regulatory Advisory Council. That committee includes high profile former regulators such as Jay Clayton and Courtney Elwood.

These connections make Hassett one of the most crypto linked figures ever considered for a Fed chair role.

Read Also: Wall Street's View on Fed Policy: How's the Reaction

Why This Matters for Crypto

Crypto markets respond directly to monetary policy. Lower interest rates typically weaken the dollar, expand liquidity, and support risk assets. Bitcoin, Ethereum, and high beta tokens often rally during these cycles.

Hassett’s stance is clear. He believes rates should come down faster. If appointed, he could accelerate rate cuts or shape the narrative that easing is necessary to support growth. This alone would be bullish.

But the more significant factor is his understanding of crypto markets through direct advisory exposure.

His time at Coinbase gives him insights into:

• How crypto exchanges operate
• The regulatory pressure facing the industry
• Institutional adoption trends
• The importance of regulatory clarity

Crypto aligned leadership at the Federal Reserve may not translate into deregulation. However, it could bring balanced perspectives to monetary decisions involving digital assets and payment innovation.

Why Trump Might Choose Hassett

Trump has openly criticized Powell for years. He viewed Powell as too slow during periods when he wanted faster rate cuts. Trump has already said he “knows” his choice and is expected to announce it before Christmas.

Hassett aligns with several Trump priorities.

• He supports lower interest rates.
• He is seen as loyal to Trump’s economic goals.
• He has the credentials and policy experience for the role.
• He is connected to crypto, a sector Trump’s inner circle increasingly embraces.

Trump’s FBI director pick, Kash Patel, was revealed to be a Bitcoiner. Several Trump aligned advisers have also become vocal about crypto’s importance for American financial leadership.

Placing Hassett at the Federal Reserve would signal that Trump’s administration wants monetary policy favorable to innovation and markets.

How the Fed Chair Influences Crypto Markets

The Federal Reserve shapes market liquidity, interest rates, and risk appetite. These elements directly affect crypto prices. The Fed chair also helps guide discussions about payment systems, digital currencies, and financial oversight.

A crypto aligned chair could indirectly accelerate:

• Acceptance of crypto as a legitimate asset class
• Institutional adoption of Bitcoin and Ethereum
• Integration of crypto into traditional payments
• Policy clarity around stablecoins and digital assets

If the US signals support for digital asset innovation, global sentiment could shift in favor of crypto friendly regulation.

What About the Other Candidates?

While Hassett leads the race, two other contenders remain.

Christopher Waller: He is a current Fed governor and was considered the safe, traditional choice. Waller has not expressed any notable crypto alignment, but he is more conservative in his policy stance.

Kevin Warsh: Warsh served previously at the Federal Reserve and is viewed as experienced but not connected to crypto policy.

Compared to them, Hassett clearly stands out for his ties to the industry.

Could Hassett Actually Be Bullish for Crypto?

There are several ways a Hassett appointment could become bullish.

• Faster rate cuts increase liquidity, benefiting risk assets like crypto.
• Crypto connected leadership reduces fear of overly aggressive regulation.
• Coinbase advisory experience provides unique insight into digital asset markets.
• Trump’s pro innovation stance amplifies crypto’s role in future financial systems.

It is rare for a Federal Reserve candidate to have such direct exposure to a major crypto exchange.

Final Thoughts

The possibility of a crypto aligned economist becoming the next chair of the Federal Reserve could reshape the narrative around US monetary policy. Kevin Hassett’s background, rate cutting stance, and history with Coinbase position him as the most crypto aware candidate ever considered for the role.

If Trump selects him, markets may interpret it as a green light for liquidity expansion and a friendlier environment for digital assets. While nothing is guaranteed, the growing alignment between political leadership and crypto expertise suggests a shift in how the US might approach digital finance moving forward.

This is why many investors view Hassett’s rise as a bullish signal for crypto.

Read Also: Fed Policy & FOMC Minutes: Impact on Stocks & Crypto

FAQs

Who is Kevin Hassett?

He is a former White House economic adviser and the current frontrunner for Federal Reserve chair, known for his pro cutting policy stance and crypto connections.

Why is Hassett bullish for crypto?

His advisory work with Coinbase, ownership of Coinbase stock, and preference for lower interest rates create conditions that support crypto growth.

When will Trump announce the next Fed chair?

The announcement could come before Christmas according to Treasury Secretary Scott Bessent.

How would lower interest rates affect crypto?

Lower rates increase liquidity and risk appetite, which historically boosts Bitcoin and altcoins.

What are the other Fed chair candidates?

Christopher Waller and Kevin Warsh remain contenders but lack the same level of crypto alignment.