President Donald Trump has nominated former Federal Reserve Governor Kevin Warsh to succeed Jerome Powell as Fed Chair, a move likely to trigger a contentious Senate confirmation. Warsh, who served during the 2008 financial crisis, brings a hawkish monetary policy stance and measured crypto-friendly views, having called Bitcoin a potential ‘generational alternative to gold.’ Markets reacted cautiously, with the U.S. dollar rising and prices for gold and Bitcoin declining on the news.
President Donald Trump declared his decision to nominate Kevin Warsh as the next Chairman of the Federal Reserve. The nomination, announced on January 30, 2026, sets the stage for a major Senate confirmation battle.
Warsh served as a Federal Reserve Governor from 2006 to 2011, playing a key role during the 2008 financial crisis. His policy views are multifaceted, combining a historically hawkish stance with recently advocated lower interest rates.
Regarding cryptocurrency, Warsh has expressed surprisingly positive rhetoric compared to previous Fed leaders. He has stated Bitcoin does not threaten the Fed’s control and may help inform policy adjustments.
In a 2025 discussion, he referred to Bitcoin as a potential ‘generational alternative to gold,’ while clarifying it is not an alternative to the U.S. dollar. These views have drawn attention from digital asset investors seeking a more balanced regulatory approach.
Financial markets reacted immediately to the nomination news. The U.S. dollar strengthened while gold and Bitcoin prices fell in initial trading.
Warsh has publicly called for a “regime change” at the Fed, criticizing past ultra-loose monetary policies. Analysts note his focus on monetary discipline may reassure bond markets but could pressure risk assets like equities and cryptocurrencies in the short term.
