Senate votes to confirm Trump-pick Kevin Warsh to succeed Jerome Powell as Fed Chair

The Senate voted to confirm President Donald Trump's pick for Federal Reserve Chair Kevin Warsh, ushering in a crypto-friendly leader to the central bank.

On Wednesday, the Senate voted 54-45 for Warsh's nomination, who will serve a term of four years. Current Federal Reserve Chair Jerome Powell's term ends on Friday, but he reportedly has said he will remain on the Fed's board until 2028.

On Tuesday, the Senate voted 51-45 to confirm Warsh as a member of the Fed's Board of Governors for a 14-year term.

Warsh previously served on the Federal Reserve's Board of Governors from 2006 to 2011 under Presidents George W. Bush and Barack Obama, and also worked as a banker at Morgan Stanley. Warsh had spoken a few times about crypto, calling bitcoin an "important asset that can help inform policymakers."

Financial disclosures released during the nomination process revealed that Warsh holds investments tied to several crypto companies and projects, including decentralized derivatives exchange dYdX, decentralized exchange protocol Lighter, venture capital firm Polychain Capital, NFT company Dapper Labs, as well as direct exposure to native tokens for Solana and Optimism, among other holdings.

During an initial Senate Banking Committee hearing last month, Warsh faced extensive questioning about interest rates, an issue that became increasingly tense between Trump and Powell. Trump openly spoke out against Powell and tried to fire him and Federal Reserve Governor Lisa Cook last year.

The Department of Justice had opened a criminal investigation against Powell, alleging false statements regarding a renovation of the central bank's headquarters. Last month, U.S. Attorney Jeanine Pirro said the DOJ was dropping the investigation and was instead referring the matter to the central bank's inspector general.