In the past few days, the contents of Worsh’s FRB Chair confirmation hearing have been trending, and honestly, I think it’s a pretty interesting turn of events.

What’s interesting is that this person has assets worth over $130 million. If he becomes Chair, he would be the wealthiest Chair in the history of the Federal Reserve Board. And when you look at his portfolio, he has directly invested in DeFi protocols like Compound and dYdX, as well as multiple blockchains such as Solana. It’s pretty clear that he has a strong level of interest in cryptocurrencies.

But here’s the interesting part. During his time as a Federal Reserve Board member from 2006 to 2011, he was a leading advocate for an inflation-focused approach. Even right in the middle of the financial crisis, at FOMC meetings he repeatedly warned about inflation risks. He was also strongly opposed to quantitative easing. Then, as of 2025, he’s started saying that AI will become a deflationary factor. He cites examples from the 1990s during the Greenspan era and argues that if productivity increases, inflation can be kept down.

On the Democratic side, they’re attacking him for “flipping his position,” but Worsh argues that he’s been consistent. Logically, it does make sense—but the market feels uneasy. That’s because he could be pushing for both quantitative tightening and rate cuts at the same time. He criticizes the balance sheet of $6.7 trillion as “expanding,” while at the same time pursuing a scenario in which interest rates are lowered. He would be drawing out liquidity while also sending signals of easing. For the market, that’s a rather complicated situation.

After the hearing, the rise in U.S. Treasury yields also likely reflects the market pricing in this uncertainty.

Another thing I’m paying attention to is his proposed statistics reform. He wants to use real-time price data on the scale of tens of billions of items to replace the existing CPI framework. And he proposes using stablecoins and on-chain price data as supplementary indicators. This isn’t just a technical reform—it’s about incorporating cryptocurrencies as infrastructure for policy decision-making. I think the reason he holds such a large amount of crypto assets can also be understood in this context.

The discussion about independence is also interesting. Senator Warren questioned him about pressure coming from Trump, but Worsh replied that “independence isn’t something automatically granted by law; it’s something you earn by carrying out the right policies.” He argues that the inflation from 2021 to 2022 was due to the Federal Reserve Board’s own judgment mistakes, not Trump. It seems this line of reasoning has been consistent since around 2010.

That said, threats to independence don’t come only from Trump—they also come from Republican Congressman Tillis. Regarding the case of criminal investigation involving Chair Powell, there’s also a possibility that Worsh’s approval process could get stuck or stall.

In the end, whether Worsh will become Chair of the Federal Reserve Board probably comes down to how policy consistency and market trust end up being balanced. AI’s deflation theory, the simultaneous implementation of quantitative tightening and rate cuts, and statistics reform that uses crypto assets—each of these is theoretically plausible, but what happens at the implementation stage is a different question. I think the market is already factoring in that uncertainty quite well.