- The Signal: Kevin Hassett confirmed he is “happy to serve” as Fed Chair if nominated.
- The Edge: His past role on Coinbase’s advisory board signals a pro-crypto regulatory shift.
- The Policy: Hassett favors aggressive rate cuts paired with a leaner Fed balance sheet.
National Economic Council Director Kevin Hassett has overtly signaled his willingness to replace Jerome Powell as Federal Reserve Chair, a move that has immediately repriced risk assets on the expectation of a radical shift in US monetary policy.
In a Sunday interview, Hassett stated he would be “happy to serve” if selected by President-elect Trump, a comment that aligned with Treasury Secretary Scott Bessent’s timeline for a pre-Christmas nomination.
Related: Trump to Name Fed Chair Before Christmas: Why Kevin Hassett Is the Favorite
The ‘Coinbase’ Candidate
For the digital asset sector, Hassett represents a potential regulatory firewall. Unlike traditional central bankers, Hassett has deep, direct ties to the crypto industry. He previously served on Coinbase’s Academic and Regulatory Advisory Council and holds a disclosed equity stake in the exchange.
Bitwise Senior Strategist Juan Leon argues this background makes Hassett the “highest beta” candidate for crypto. His appointment would likely signal a definitive end to the “regulation by enforcement” era, replacing it with an administration that views digital assets as a tool for dollar hegemony rather than a systemic risk.
In addition, a recent Bloomberg report indicated that he is leading a field of candidates that includes Federal Reserve Governor Michelle Bowman, BlackRock fixed-income chief Rick Rieder, Federal Reserve Governor Christopher Waller, and former governor Kevin Warsh.
The Policy Pivot: Cheaper Money, Scarcer Dollars
While markets are cheering the prospect of lower rates, the Hassett-Bessent doctrine is more nuanced than simple “money printing.” Market commentator Felix Jauvin describes the emerging strategy as “Dovish FFR (Fed Funds Rate), Hawkish Balance Sheet.”
- The Dove: Hassett has argued the Fed is “behind the curve” and supports faster, deeper cuts to the benchmark rate.
- The Hawk: Simultaneously, the administration questions the “ample reserves” regime, favoring a leaner Fed balance sheet. This combination creates a unique environment: capital becomes cheaper to borrow (boosting Bitcoin and Tech valuations), but the actual supply of dollars remains tight (punishing inefficient “zombie” assets).
Market Focus Turns to Policy Direction
Prediction platform Kalshi reported that Hassett’s odds climbed to 55%, citing his support for faster rate cuts and his alignment with the president’s economic approach. Analysts tracking the digital-asset sector have taken note of his résumé, which includes advising on regulatory matters involving digital assets.
Hassett’s previous involvement in digital-asset policy includes his role on Coinbase’s advisory board and work on a White House working group focused on regulatory guidelines. According to Leon, those positions have shaped his understanding of the policy environment surrounding digital assets.
Related: Trump’s Search to Replace Jerome Powell Is Reportedly Down to These ‘Two Kevins’
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Source: https://coinedition.com/kevin-hassett-fed-chair-signal-coinbase-ties-crypto-impact/
