Fed Reserve's New Chairperson Kevin Warsh What Awaits the Crypto Market?

[GhostOfBitcoin]

https://i.ibb.co/GvTYpQ70/Screenshot-2026-05-14-200145.png
source Link: https://x.com/WatcherGuru/status/2054631950619443426?s=20

The US Senate has confirmed Kevin Warsh as the chairman of the Federal Reserve. Jerome Powell is stepping down on May 15th. Kevin Warsh will take over.

This change might be good for Bitcoin and crypto investors.

There is a person in charge now: Kevin Warsh will take over the Federal Reserve. It is not clear if Kevin Warsh will make things easier for Bitcoin and crypto investors by changing the rules that Jerome Powell made to stop inflation. We do not know what new rules Kevin Warsh might make.

Big companies are starting to like Bitcoin and crypto. For example Mastercard is working with cryptocurrency companies. They are even hiring crypto experts to work in their offices. Since big companies are starting to use Bitcoin and crypto the Federal Reserve and Kevin Warsh will have a say in what happens to the market.

I think Kevin Warsh might seem tough at first. He might actually be good for Bitcoin and crypto in the long run. Companies like Mastercard are using crypto so the Federal Reserve cannot ignore it anymore.

Will Kevin Warsh be good for Bitcoin? Will he make more rules to stop it?

[snowpega]

...

So, today is the last day of powel as Fed chairman? Well, according to my knowledge, whenever a new Fed chairman gets elected or appointed, the market shows volatility. So, as we know, today is the last day of Powell as Fed chairman, then this can be a reason why the market is making a correction and bleeding. Other than this, no doubt that the market will start to show a good recovery again when the order of the new Fed chairman will be in full functional form or ready to sign healthy/good market regulations.

There is no doubt that the new Fed chairman is more familiar with the crypto space and he supports this space very well. But things will move accordingly, depending on how he manages his position for the best growth of the crypto space. If he keep bring good and friednly regulations for the bitcoin and whole crypto space than we can see a good money flow in this space. And if he will use his postion for own and his people benifit than we know the results. Getting my point?

[rat03gopoh]

There may be a correlation between the US strategic reserve and the scenario that the elected Fed chairman will be a pro-bitcoin politician. However, support doesn't necessarily mean that policies will continue to drive growth, especially considering that Bitcoin is often used as a trade instrument to avoid geopolitical sanctions. This would pose a significant dilemma for an institution known for its independence.

[Smartprofit]

I'm not entirely sure where the myth about Kevin Warsh being a Bitcoin supporter came from? 🙋

Perhaps because people remember his large investments in cryptocurrency projects? But as far as I understand, after he becomes Fed Chairman, he'll have to liquidate these investments, meaning sell all of these assets...

As far as I know, Kevin Warsh has always been a proponent of tight monetary policy. He advocates high Fed rates and strict control over government spending. I also remember him saying that a high Bitcoin price is an indicator of the poor health of the US economy. From this, I conclude that Kevin Warsh believes that if the Bitcoin price rises, it means the Fed Chairman isn't doing his job properly. That's the impression I got from his words... So where's the support for Bitcoin here?

Yes, the Bitcoin price could rise.  But, in my opinion, this won't happen because Kevin Warsh became the Fed Chairman. It will happen for objective reasons. In my opinion, Bitcoin has entirely objective reasons for its price to rise.

[ene1980]

I'm not entirely sure where the myth about Kevin Warsh being a Bitcoin supporter came from? 🙋

Perhaps because people remember his large investments in cryptocurrency projects? But as far as I understand, after he becomes Fed Chairman, he'll have to liquidate these investments, meaning sell all of these assets...

It is fair to say that Kevin Warsh is the first chairperson who really invested in the cryptocurrency market, which is in itself a big deal when you have someone who understands the cryptocurrency market leading the central bank.

Yes it is a policy that you need to dispose personal holdings to avoid conflict of interest.

As far as I know, Kevin Warsh has always been a proponent of tight monetary policy. He advocates high Fed rates and strict control over government spending. I also remember him saying that a high Bitcoin price is an indicator of the poor health of the US economy. From this, I conclude that Kevin Warsh believes that if the Bitcoin price rises, it means the Fed Chairman isn't doing his job properly. That's the impression I got from his words... So where's the support for Bitcoin here?

He might have had a tough policy earlier but now he is coming back as a nominee by Trump, who wants to make US the epicenter of crypto and Kevin Warsh is against CBDC which is indeed a good thing and like I mentioned above, he is the first Chairperson to actually invest in crypto which is always a net positive.
 

[Smartprofit]

I'm not entirely sure where the myth about Kevin Warsh being a Bitcoin supporter came from? 🙋

Perhaps because people remember his large investments in cryptocurrency projects? But as far as I understand, after he becomes Fed Chairman, he'll have to liquidate these investments, meaning sell all of these assets...

It is fair to say that Kevin Warsh is the first chairperson who really invested in the cryptocurrency market, which is in itself a big deal when you have someone who understands the cryptocurrency market leading the central bank.

Yes it is a policy that you need to dispose personal holdings to avoid conflict of interest.

As far as I know, Kevin Warsh has always been a proponent of tight monetary policy. He advocates high Fed rates and strict control over government spending. I also remember him saying that a high Bitcoin price is an indicator of the poor health of the US economy. From this, I conclude that Kevin Warsh believes that if the Bitcoin price rises, it means the Fed Chairman isn't doing his job properly. That's the impression I got from his words... So where's the support for Bitcoin here?

He might have had a tough policy earlier but now he is coming back as a nominee by Trump, who wants to make US the epicenter of crypto and Kevin Warsh is against CBDC which is indeed a good thing and like I mentioned above, he is the first Chairperson to actually invest in crypto which is always a net positive.
 

In my opinion, any US president and any Federal Reserve Chairman will strive for a strong US dollar, not a strong Bitcoin. This is the position of any statesman. If you're a patriotic statesman, you want your country to be strong and powerful. You want your country to have a strong economy. You want your country to have a strong national currency. 🙋

On the other hand, Donald Trump is a businessman known for doubling his personal fortune during his presidency. However, I'm confident he won't intentionally harm the US economy. If he did, he would be immediately destroyed (by his political opponents).

The price of Bitcoin could rise, for example, due to the need to cover significant military spending (over the past two months, the US military has launched a large number of missiles at Iran). Bitcoin could also rise due to upcoming political elections (such events also increase government spending). An increase in the money supply favors Bitcoin's price.  However, I expect Kevin Warsh to do everything he can to counter these developments. I don't think his election is a positive development for Bitcoin.🤷

[EluguHcman]

Since big companies are starting to use Bitcoin and crypto the Federal Reserve and Kevin Warsh will have a say in what happens to the market.

Today 15th May 2026 is the long awaiting day for Kevin Walsh to be inaugurated as the new chairman of the Federal Reserve as the successor of Jerome Powell. I have either not heard any news about the event day yet and still... there had no been a formidable changes in the Bitcoin and crypto market.

I am either not expecting too much with the news about the new chairperson because the fact it is being mentioned Federal Reserve does not mean Bitcoin will also be a priority on the US reserve. The US had neither not been able to buy any Bitcoin from its funds rather the portfolio in their Bitcoin reserve is being acquired through seizures.

Although friendly regulations in the crypto industry could encourage more adoption following how the big organizations are showing interests. However, the chairperson has no capacity to decide on the Bitcoin market but on the regulatory policies.

[dansus021]

Jerome Powell has formally stepped down, and the "Warsh Era" at the Federal Reserve has begun. This is like the opening of some movie. This isn't just a change in leadership; it’s a fundamental shift.

As the news said that Warsh disclosed a net worth between $131 million and $209 million, including direct exposure to Solana (SOL), Optimism, and DeFi protocols like dYdX, Lighter, and Compound. Since he basically a Donald Trump friend I do believe that his gonna at least lower or cut the rate, to alleviate the government's massive debt burden that over 30 trillion dollar.

But this is the only tip of the Iceberg we know that Trump is like about crypto but his decision for other macro economic is keep bitcoin stagnan imo

[bitgolden]

There may be a correlation between the US strategic reserve and the scenario that the elected Fed chairman will be a pro-bitcoin politician. However, support doesn't necessarily mean that policies will continue to drive growth, especially considering that Bitcoin is often used as a trade instrument to avoid geopolitical sanctions. This would pose a significant dilemma for an institution known for its independence.

Powell wasn't an anti-crypto person neither, he was anti-rate movement guy, he did not make it go up or go down with time, and because of that he was usually quite late to do anything. This does play with the price of bitcoin of course, but it wasn't a direct bitcoin related thing.

This new guy will be the same, he will not do anything specific for bitcoin itself, but if he does manage the rates at the correct time without being late, then we could see him do a better job for sure.

[Fortify]

I'm not entirely sure where the myth about Kevin Warsh being a Bitcoin supporter came from? 🙋

Perhaps because people remember his large investments in cryptocurrency projects? But as far as I understand, after he becomes Fed Chairman, he'll have to liquidate these investments, meaning sell all of these assets...

As far as I know, Kevin Warsh has always been a proponent of tight monetary policy. He advocates high Fed rates and strict control over government spending. I also remember him saying that a high Bitcoin price is an indicator of the poor health of the US economy. From this, I conclude that Kevin Warsh believes that if the Bitcoin price rises, it means the Fed Chairman isn't doing his job properly. That's the impression I got from his words... So where's the support for Bitcoin here?

Yes, the Bitcoin price could rise.  But, in my opinion, this won't happen because Kevin Warsh became the Fed Chairman. It will happen for objective reasons. In my opinion, Bitcoin has entirely objective reasons for its price to rise.

It's worth remembering that Donald Trump was meant to sell off all his assets when he became president, but instead he put them into a "blind trust" run by his family that he can clearly influence. We are long past what is normal and rule breaking is widely tolerated with the current government in charge, as long as you hide it well enough. That being said traditionally the way to influence such people is to promise them jobs in the private sector in return for doing favorable things  to your business. It is very interesting to read your recap of his previous comments because they do seem very anti-bitcoin, so he might take actions to undermine it. However he will likely be influenced a lot by Trump, even though he has promised to be independent, because it's hard to resist the pressure.

[Iranus]

I'm not entirely sure where the myth about Kevin Warsh being a Bitcoin supporter came from? 🙋

Perhaps because people remember his large investments in cryptocurrency projects? But as far as I understand, after he becomes Fed Chairman, he'll have to liquidate these investments, meaning sell all of these assets...

Not only crypto asset, but he also needs to divest from all private investments, including stock.

As far as I know, Kevin Warsh has always been a proponent of tight monetary policy. He advocates high Fed rates and strict control over government spending. I also remember him saying that a high Bitcoin price is an indicator of the poor health of the US economy. From this, I conclude that Kevin Warsh believes that if the Bitcoin price rises, it means the Fed Chairman isn't doing his job properly. That's the impression I got from his words... So where's the support for Bitcoin here?

This is true, but it is an outdated view from his time as Governor of the Fed from 2006-2011. Recently, he shifted to a dovish stance shortly after Trump won the 2024 election. That could also be the reason Trump chose him.

Yes, the Bitcoin price could rise.  But, in my opinion, this won't happen because Kevin Warsh became the Fed Chairman. It will happen for objective reasons. In my opinion, Bitcoin has entirely objective reasons for its price to rise.

This is also true. Bitcoin will certainly rise over time, but that has nothing to do with who becomes the chairman of the Fed.

Bitcoin is influenced by macroeconomic factors, not by any individual, whether it is Trump or the chairman of the Fed.

[Smartprofit]

I'm not entirely sure where the myth about Kevin Warsh being a Bitcoin supporter came from? 🙋

Perhaps because people remember his large investments in cryptocurrency projects? But as far as I understand, after he becomes Fed Chairman, he'll have to liquidate these investments, meaning sell all of these assets...

As far as I know, Kevin Warsh has always been a proponent of tight monetary policy. He advocates high Fed rates and strict control over government spending. I also remember him saying that a high Bitcoin price is an indicator of the poor health of the US economy. From this, I conclude that Kevin Warsh believes that if the Bitcoin price rises, it means the Fed Chairman isn't doing his job properly. That's the impression I got from his words... So where's the support for Bitcoin here?

Yes, the Bitcoin price could rise.  But, in my opinion, this won't happen because Kevin Warsh became the Fed Chairman. It will happen for objective reasons. In my opinion, Bitcoin has entirely objective reasons for its price to rise.

It's worth remembering that Donald Trump was meant to sell off all his assets when he became president, but instead he put them into a "blind trust" run by his family that he can clearly influence. We are long past what is normal and rule breaking is widely tolerated with the current government in charge, as long as you hide it well enough. That being said traditionally the way to influence such people is to promise them jobs in the private sector in return for doing favorable things  to your business. It is very interesting to read your recap of his previous comments because they do seem very anti-bitcoin, so he might take actions to undermine it. However he will likely be influenced a lot by Trump, even though he has promised to be independent, because it's hard to resist the pressure.

The most interesting thing is that the media portrays Kevin Warsh as an ardent Bitcoin supporter! Yet, they cite his speeches, which, in my opinion, demonstrate the exact opposite position. 🙋

For example, they write: "Kevin Warsh believes Bitcoin is a very valuable asset because it serves as an indicator of the health of the American economy!" But in reality, he compared Bitcoin to a canary in a coal mine. Therefore, for him, the rise in Bitcoin's price is simply a signal of impending disaster in the American economy. And if Kevin Warsh decided to become Chairman of the Fed, then we can assume that he wants to avoid this disaster? And considers it his mission? At least, that's how I understood it...

Another point: the rise in US Treasury yields tells us that the state of the American economy is very dire. The cost of servicing the national debt continues to rise.  And no Kevin Warsh, in this situation, will be able to maintain tight monetary policy for too long. Sooner or later, he'll have to increase the US dollar money supply (not necessarily by lowering the Fed's interest rate, but he will do so or allow it). And this, in my opinion, will have a positive impact on the price of Bitcoin. I even think that, as a result of these events, the price of Bitcoin has every chance of significantly exceeding $150,000.

[Franctoshi]

Finally, it happened that the Fed reserve now has a new chairman appointed by Donald J. Trump, but let's see the kind of policies he will be putting in place. But one thing is for sure: the current president, Donald Trump, is a Bitcoin-loving president based on his campaign promises and the few things we've seen him do with crypto, the signing of the Big Beautiful Bill, and the declaration of Bitcoin as a strategic reserve in the US. It's obvious that the new Fed chair will work in accordance with the kind of policies that Trump would like, especially when it comes to cryptocurrency; it wouldn't be hugely opposed by the Fed in terms of its policies towards crypto.

[Swordsoffreedom]

There may be a correlation between the US strategic reserve and the scenario that the elected Fed chairman will be a pro-bitcoin politician. However, support doesn't necessarily mean that policies will continue to drive growth, especially considering that Bitcoin is often used as a trade instrument to avoid geopolitical sanctions. This would pose a significant dilemma for an institution known for its independence.

Powell wasn't an anti-crypto person neither, he was anti-rate movement guy, he did not make it go up or go down with time, and because of that he was usually quite late to do anything. This does play with the price of bitcoin of course, but it wasn't a direct bitcoin related thing.

This new guy will be the same, he will not do anything specific for bitcoin itself, but if he does manage the rates at the correct time without being late, then we could see him do a better job for sure.

Yes, the Fed under Powell had a neutral stance on cryptocurrencies. They have never opposed or criticized bitcoin in the way that the ECB has. Powell even said that bitcoin is like gold and not a threat to the USD

What disappointed Trump most about Powell was the delay in lowering interest rates, but I think that was also wrong and unfair. In reality, lowering interest rates require the consensus of a majority of the FOMC member, and Powell cannot decide this on his own, even if he wanted to.

People are placing high expectations on Kevin Warsh, but I believe that if inflation does not come down, lowering interest rates is impossible.