Kevin Warsh, President Trump’s nominee to succeed Jerome Powell as Federal Reserve Chair, has made his position clear: the Fed shouldn’t be in the business of rescuing any sector. That includes crypto, the very industry where he holds substantial personal investments.
The anti-bailout crusader with a crypto wallet
Warsh served as a Federal Reserve Governor from 2006 to 2011, a period that included the most significant financial crisis since the Great Depression. He argued against rescuing Lehman Brothers in 2008. His reasoning was straightforward: intervening would reinforce unhealthy expectations that Wall Street firms would always be protected from their own mistakes.
That same philosophy now extends to digital assets. Warsh has stated the Federal Reserve should not be involved in rescuing any sector, crypto included.
Warsh’s financial disclosures reveal investments in over 30 crypto assets or crypto-related projects, with total estimated holdings between $131 million and $209 million. He has described Bitcoin as an “important asset” and compared it favorably to gold as a sustainable store of value.
