Kevin Warsh Set to Become Treasury Secretary, With Future Role as Fed Chair 

President-elect Donald Trump is eyeing Kevin Warsh, a former Federal Reserve governor, for Treasury Secretary—a move that could set him up to replace Jerome Powell as Fed Chair in 2026. This bold plan has sparked mixed reactions, with the crypto community raising concerns about Warsh’s potential impact.

Kevin Warsh To Become US Treasury Secretary

Kevin Warsh, a former member of the Federal Reserve Board of Governors, is currently the leading candidate to become the next U.S. Treasury Secretary. According to sources, President-elect Donald Trump recently met with Warsh at Mar-a-Lago, his private club in Florida, to discuss this potential appointment.

There’s also talk that Warsh might replace Jerome Powell as Federal Reserve Chair when Powell’s term ends in mid-2026. However, Warsh has openly supported central bank digital currencies (CBDCs), favoring them over private cryptocurrencies like stablecoins.

Meanwhile, Polymarket data shows that Warsh has a 60% chance of securing the Treasury Secretary position, reflecting significant shifts in betting odds for this critical role.

The crypto world has expressed concern about Warsh’s potential appointment. Many worry that his support for CBDCs might translate into policies that stifle private crypto innovation. 

However, Warsh’s investment history suggests he might not be as anti-crypto as initially feared, leaving room for cautious optimism.

Other Potential Candidate 

Trump is also considering Scott Bessent, a hedge fund veteran and former Yale University professor, to lead the National Economic Council. Bessent might eventually succeed Warsh as Treasury Secretary, creating a long-term strategy for the administration’s economic team.