Prediction market odds on Kevin Hasset becoming the next chair of the US Federal Reserve spiked after US President Donald Trump appeared to hint at who he has in mind during a White House event.
Speaking at the White House on Tuesday, Trump introduced guests, welcoming Hassett as a “potential Fed chair.”
“It’s a great group, and I guess a potential Fed chair is here too,” he said. “I don’t know, are we allowed to say that, potential? He’s a respected person, that I can tell you. Thank you, Kevin.”
It was only during a cabinet meeting earlier in the day that Trump reportedly said they had already whittled the race down to one person.
“I think we probably looked at 10 and we have it down to one,” he said.
The odds on blockchain-based prediction market Kalshi for Hassett to be nominated as chairman of the Fed rose to 85% following Trump’s comments, from around 66%. On Polymarket, the odds followed a similar pattern.
Kevin Hassett is the director of the government’s National Economic Council, having taken the role in January 2025 after being selected by Trump.
Regarded as crypto-friendly with a $1 million stake in Coinbase and having overseen the digital asset working group, Hassett is one of many candidates being explored for the leadership of the Fed, with Jerome Powell’s term set to end in May 2026.
Trump has had a tense relationship with Powell since taking office.
In late November, Trump said, “I’d love to fire his ass … grossly incompetent.”
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How a new Fed impact could impact crypto
Treasury Secretary Scott Bessent has been tasked with leading the search for the next Fed chair. In terms of what the government is looking for, last month, Bessent said the government was looking for a leader who could guide the Fed more quietly behind the scenes.
“I think it’s time for the Fed just to move back into the background, like it used to do, calm things down and work for the American people,” he said.
While the Fed doesn’t have a direct impact on crypto regulation, its actions significantly influence market sentiment, as it guides monetary policy and interest rates.
Lower rates generally serve as a boon for crypto, and Hassett has previously criticized the Fed’s rate policy for being too high.
Meanwhile, the Fed also oversees banking, and if it were to tighten or loosen specific rules, it could impact crypto firms’ dealings with the banking sector.
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