Is the Fed getting a new leader? This is happening faster than expected.

Multiple media outlets have confirmed that Trump has already made his pick—his former economic advisor Kevin Hassett. Originally, the Treasury was still conducting candidate screening and interviews, but the boss made a final decision with just one sentence. In a meeting, Trump told Hassett directly, "The shortlist is down to one person." He even called him "the future chairman." That’s pretty straightforward.

Why choose Hassett? The answer is simple—trust. He’s been with Trump for years and is considered an insider. It’s said that Trump has always regretted picking Powell in the first place, and this time he’s determined to choose someone who will listen. After all, Powell has gone against the White House so many times you can’t even count them on your fingers.

How should the market view this?

First, independence. The Fed has always prided itself on making independent decisions, free from political interference. But if the chairman is the president’s personal confidant, how much independence is really left? There’s no answer for now, but the market will definitely speculate.

Next, rate cut expectations. A more "cooperative" chairman could mean a more aggressive monetary policy. Will the pace of rate cuts speed up? Will the liquidity floodgates open wider? These are all possible changes. For traditional financial markets, uncertainty will definitely rise in the short term. Stocks, bonds, and currencies will all need to be repriced.

But what about the crypto market? Volatility in the traditional world often means opportunity. If the Fed really turns dovish and liquidity overflows, where will the money go? History tells us that risk assets usually benefit.

The Powell era may be coming to an end. What will the Hassett era look like? It’s still too early to say. But one thing’s for sure: the main macro story of 2025 will most likely revolve around this. Buckle up and get ready for a new cycle of volatility.