Kevin Hassett’s Crypto Ties Position Him as Frontrunner in Fed Chair Race

Could a former cryptocurrency advisor reshape U.S. monetary policy at the Federal Reserve?

The Evolving Search for the Next Fed Chair

The selection process for the next Federal Reserve Chair has intensified under President Trump, with final interviews underway and prediction markets reflecting shifting odds. As of late November 2025, economist Kevin Hassett has surged ahead as the leading candidate, driven by his economic advocacy and notable connections to the cryptocurrency sector. This development comes amid growing public criticism from Trump toward current Chair Jerome Powell, whose term extends until May 2026.

Hassett’s Rise and Key Qualifications

Hassett, who previously served as chair of the Council of Economic Advisers, has seen his nomination probability climb to 55% on platforms like Kalshi, up 15 percentage points in the past day. This edges out competitors such as Federal Reserve Governor Christopher Waller at 20% and former Fed Governor Kevin Warsh at 15%. These figures, while indicative of market sentiment, remain volatile and subject to rapid changes based on political developments. Hassett’s profile emphasizes a dovish monetary stance, including calls for aggressive interest rate cuts—such as a 50 basis point reduction in December 2025—to stimulate economic growth. His background includes:

• Advocacy for lower rates throughout 2024 and 2025, contrasting with Powell’s more hawkish approach amid inflation concerns.
• Substantial personal investments, holding over $1 million in Coinbase (COIN) stock, which ties him directly to the crypto industry’s performance.
• Recent appointment to Coinbase’s Global Advisory Council in late November 2025, where he advises on regulatory engagement with global policymakers.

Implications for Crypto Markets and Policy

A Hassett-led Fed could signal a pivotal shift toward greater acceptance of cryptocurrencies, influencing everything from regulatory frameworks to interest rate decisions that affect digital asset valuations. Analysts point to his involvement in a White House digital asset working group as evidence of pro-crypto leanings, potentially accelerating institutional adoption and clearer guidelines for central bank digital currencies (CBDCs) and crypto integration into traditional finance. Market trends already reflect optimism: The 10-year Treasury yield has dipped below 4%, signaling confidence in looser policy ahead, which historically correlates with crypto price gains. Bitcoin, for instance, has hovered near $89,000 amid Fed speculation, with broader market expectations of dovish leadership boosting sentiment for assets like COIN stock. Juan Leon, Senior Investment Strategist at Bitwise, highlighted the potential upside in a recent analysis:

“If Kevin Hassett becomes Fed Chair, the implications for crypto are strongly bullish. 1. Aggressive ‘dove’ who has publicly criticized current rates for being too high and advocated for deeper, faster cuts. 2. Led the White House digital asset working group to shape pro-crypto regulation. 3. Served on Coinbase’s advisory board and owns a large stake in COIN.”

Critics, however, caution against over-reliance on prediction markets, noting Waller’s stronger odds in some assessments due to his emphasis on policy continuity and measured tech adoption. Waller’s approach might maintain regulatory caution, potentially slowing crypto’s mainstream integration compared to Hassett’s innovation focus. Overall, the outcome could drive crypto market capitalization trends, with estimates suggesting a 10-20% uplift in sector valuations under a more accommodative Fed—though this depends on broader economic data like inflation reports. Uncertainties persist around Trump’s final decision and Senate confirmation prospects. How do you see a crypto-linked Fed Chair impacting digital asset markets and regulatory landscapes?