Incoming Fed Chair's Crypto Investments Revealed

Kevin Warsh, the nominee to chair the Federal Reserve, has filed a 69-page financial disclosure revealing a vast portfolio with combined assets of at least $192 million, including investments in over a dozen blockchain and digital asset companies. Warsh's crypto holdings, which will be sold, span DeFi lending, decentralized derivatives, Layer 1 and Layer 2 networks, prediction markets, and Bitcoin payments infrastructure. The disclosure has sparked interest in the crypto industry, given Warsh's future role in overseeing stablecoin regulation, bank crypto custody policy, and central bank digital currency decisions. The majority of Warsh's crypto positions are held through fund vehicles, with individual line items reported without dollar values, indicating they are small venture bets. However, larger holdings in funds like Juggernaut Fund LP and THSDFS LLC will require full divestiture. The mandatory divestiture and recusal obligations may constrain Warsh's ability to act on his sympathies towards the crypto industry, at least in the first year. The Senate Banking Committee is expected to hold a confirmation hearing next week, where Warsh's crypto holdings will likely be a topic of discussion.