{"id":15466,"date":"2025-08-28T10:19:37","date_gmt":"2025-08-28T08:19:37","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=15466"},"modified":"2025-08-28T10:19:37","modified_gmt":"2025-08-28T08:19:37","slug":"trumps-potential-fed-chair-candidates-feature-crypto-connections","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/08\/28\/trumps-potential-fed-chair-candidates-feature-crypto-connections\/","title":{"rendered":"Trump’s Potential Fed Chair Candidates Feature Crypto Connections"},"content":{"rendered":"\n
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The Trump administration is evaluating at least 11 individuals to succeed Jerome Powell when his tenure as Federal Reserve chair concludes in May. At least three of these candidates have expressed favorable viewpoints about cryptocurrency.<\/p>\n

Treasury Secretary Scott Bessent informed Fox News on Wednesday that there are 11 \u201cvery strong candidates\u201d for the Fed chair position, which he plans to assess and narrow down starting next month.<\/p>\n

The candidates’ roster, as CNBC reported<\/a> on Aug. 13, citing two officials from the administration, features Dallas Fed President Lorie Logan, former St. Louis Fed President James Bullard, Fed Vice Chair Philip Jefferson, Fed Governor Chris Waller, Fed Vice Supervision Chair Michelle Bowman, and former Fed Governor Larry Lindsey.<\/p>\n

The lineup also encompasses Bush administration economic adviser Marc Sumerlin, investment bank Jefferies chief market strategist David Zervos, and BlackRock\u2019s chief investment officer for global fixed income, Rick Rieder.<\/p>\n

The Federal Reserve influences US interest rates, which in turn determine how markets invest. Reduced interest rates enhance liquidity and often encourage investments in volatile, high-risk assets like crypto, while rate hikes generally lead investors to unload riskier positions.<\/p>\n

Rieder previously stated Bitcoin is \u201chere to remain\u201d<\/h2>\n

BlackRock\u2019s Rieder has made optimistic remarks regarding crypto in previous instances.<\/p>\n

He informed<\/a> The Wall Street Journal in early 2024 that Bitcoin could potentially \u201cbe a significant component of the asset allocation framework\u201d and that \u201cover time, people become increasingly comfortable with it.\u201d<\/p>\n

Related: <\/strong><\/em>Bitcoin won\u2019t be \u2018priced in\u2019 until Trump reveals new Fed chair<\/strong><\/em><\/a><\/p>\n

Rieder stated<\/a> to CNBC in November 2020 that he believed crypto and Bitcoin were \u201chere to stay\u201d and that \u201cthe openness \u2014 especially of millennials \u2014 towards technology and cryptocurrency is tangible.\u201d<\/p>\n

BlackRock oversees the largest Bitcoin and Ether (ETH<\/a>) exchange-traded funds available.<\/p>\n

Feds Waller, Bowman adopt crypto-friendly policies<\/h2>\n

The Fed\u2019s Waller and Bowman, reportedly also in consideration, have both recently indicated a supportive stance towards crypto.<\/p>\n

Bowman, the Fed\u2019s lead regulatory official, mentioned on Aug. 20 that the central bank\u2019s personnel ought to be permitted to invest<\/a> a limited amount in crypto to better comprehend the technology, adding that this would assist in achieving a \u201cfunctional understanding of the underlying mechanics.\u201d<\/p>\n

Fed Governor Waller asserted the following day<\/a> that the banking industry had \u201cnothing to fear\u201d regarding crypto transactions occurring outside the conventional banking framework, as it was \u201cmerely new technology for transferring assets and recording transactions.\u201d<\/p>\n

By contrast, Powell has addressed crypto on several occasions and typically advocated for a cautious approach. He remarked in June that crypto had gained increased mainstream acceptance and anticipated banks would enhance their involvement with the sector.<\/p>\n

In December, he remarked<\/a> that Bitcoin was more of a rival to gold than to the US dollar.<\/p>\n

Notable mention: Jefferies collaborates with crypto<\/h2>\n

Meanwhile, Jefferies, the investment bank where Zervos leads strategy, is engaged with crypto-related enterprises.<\/p>\n

The bank has supported the recent public listings of trading platform<\/a> eToro, stablecoin issuer Circle Internet Group, crypto exchange Bullish<\/a>, and crypto-based lender Figure Technology Solutions.<\/p>\n

It also made early investments in the Bitcoin (BTC<\/a>) purchasing initiatives of Michael Saylor\u2019s Strategy and is reported to have had a senior banker dedicated solely to crypto for at least five years.<\/p>\n

Powell\u2019s term as chair concludes in May, yet his 14-year duration on the Fed board will continue until early 2028. His much-anticipated address<\/a> on Friday elevated expectations of an interest rate reduction, with financial markets now forecasting that the Fed will lower rates during its mid-September meeting.<\/p>\n

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