Crypto Investors Watch Closely as Kevin Hassett Becomes Frontrunner to Replace Jerome Powell
Kevin Hassett has surged forward within the race to turn into the following Federal Reserve Chair, as the crypto market watches intently. Hasset emerged as President Donald Trump’s most well-liked candidate whereas the administration accelerates its search forward of a deliberate Christmas announcement.
With Jerome Powell’s time period ending in May 2026, the stakes for markets, particularly crypto, are huge.
Hassett Leads the Pack as Trump Eyes Aggressive Rate Cuts
Multiple experiences from Bloomberg, Reuters, and different shops affirm that Hassett, the present director of the White House National Economic Council, has turn into the clear frontrunner amongst 5 finalists vetted by Treasury Secretary Scott Bessent.
Others nonetheless in competition embrace Kevin Warsh, Christopher Waller, Michelle Bowman and BlackRock govt Rick Rieder. But it’s Hassett’s alignment with Trump’s desire for sooner and deeper interest-rate cuts that has put him in pole place.
In current interviews, Hassett stated he would reduce charges “proper now” primarily based on present financial information, a pointy distinction to Powell’s extra cautious strategy. Prediction platforms like Kalshi and Polymarket now present Hassett with roughly 55%–57% odds of being nominated, properly forward of his rivals.
Crypto Ties Raise Questions, and Fuel Market Optimism
Hassett’s candidacy is drawing extraordinary consideration from the digital asset world. Earlier this 12 months, he disclosed holding greater than $1 million in Coinbase inventory, together with receiving over $50,000 for serving on Coinbase’s Academic and Regulatory Advisory Council.
He additionally chaired the White House’s digital asset working group, crafting key crypto-policy suggestions, together with stablecoin regulation, taxation tips and parts of the administration’s Strategic Bitcoin Reserve proposal.
These ties have sparked questions on potential conflicts of curiosity, given the Fed’s oversight of banking publicity to crypto and stablecoin frameworks.
Yet many business analysts view his ascent as a serious bullish catalyst. Bitwise strategist Juan Leon stated a Hassett-led Fed could be “strongly supportive of digital property,” citing his dovish financial stance and direct business expertise.
Markets Brace for a Potentially Transformative Fed Shift
Trump’s dissatisfaction with Powell, mixed with inner divisions over inflation, labor information and the tempo of easing, has solely intensified hypothesis. The Fed has already delivered two cuts this fall, with markets extensively anticipating a 3rd in December.
If nominated and confirmed, Hassett would usher in probably the most crypto-friendly and pro-growth Federal Reserve leaderships in trendy historical past.
With the announcement anticipated earlier than Christmas, each Wall Street and the crypto markets are watching intently for what could possibly be a defining second for financial coverage and digital asset regulation.
Cover picture from ChatGPT, BTCUSD chart from Tradingview
