08.08.2025 16:47
Stephen Miran, a known cryptocurrency proponent, has been appointed to the Federal Reserve Board by President Donald Trump, sparking a ripple effect across financial markets. His appointment, filling the vacancy left by Adriana Kugler's resignation, is temporary, extending until January 31, 2026. This interim role comes as the administration seeks both a permanent Board member and a successor to Jerome Powell as Fed Chair, whose term concludes in May 2026. Reports suggest Christopher Waller is the frontrunner for the chairmanship.
Trump's announcement, made via his Truth Social platform, highlighted Miran's qualifications and the significance of this appointment. The President's choice reflects his consistent criticism of the Fed's current leadership, particularly regarding their perceived slow response to economic conditions and their interest rate policies. Trump has repeatedly urged lower interest rates to stimulate growth, a viewpoint seemingly aligned with Miran's stance. This recent appointment underscores the administration's ongoing efforts to reshape the Federal Reserve's direction.
Miran's advocacy for looser regulations and a more accommodative monetary policy is well-documented. His academic work, notably a paper advocating for increased presidential oversight of the Federal Reserve, further emphasizes his belief in streamlining the Fed's structure and enhancing its accountability. He cites issues such as bureaucratic excess and a perceived insufficient focus on inflation control as key arguments supporting this view. However, his appointment isn't without opposition; Senator Elizabeth Warren has already expressed reservations and intends to rigorously scrutinize Miran's suitability during the Senate confirmation hearings.
The market reacted swiftly to the news of Miran's appointment. Bitcoin, for instance, experienced a brief surge, exceeding $117,600 before retracting. This short-lived rally reflects market anticipation of a potential interest rate cut in September, a possibility bolstered by Miran's known preference for a dovish approach. Greg Magadini, Amberdata's director of derivatives, commented to Decrypt that Miran's appointment is anticipated to result in a more lenient monetary policy. The confirmation process remains underway, promising further developments as the Senate weighs Miran's qualifications and future impact on the Fed's policy decisions. The appointment highlights the ongoing interplay between politics, monetary policy, and the volatile cryptocurrency market.
