As the search for the next chair of the United States Federal Reserve nears its final stage, a new frontrunner has emerged.
While Fed governor Christopher Waller had been viewed for months as the likely successor to Jerome Powell, former White House economic adviser Kevin Hassett is now receiving heightened attention.
Related: Trump's new FBI director Kash Patel is a Bitcoiner, filing reveals
Hassett gains momentum in Fed chair race
Hassett, who has served as director of the White House National Economic Council since 2025, is now leading Fed chair race, Bloomberg reported based on anonymous sources.
Hassett is regarded by Trump allies as closely aligned with the president's economic priorities.
Speaking on Nov. 20, Hassett told Fox News that he would "be cutting rates right now" if he were leading the Fed, arguing that current data support lower borrowing costs.
He has also criticized the central bank for losing control of inflation in the years following the pandemic.
Hassett's ties to the crypto industry have also drawn notice.
According to his June financial disclosure, he previously advised Coinbase and holds at least $1 million in Coinbase stock from his advisory work with the U.S. exchange.
He also reported receiving $50,001 in salary for serving on Coinbase's Academic and Regulatory Advisory Council, a board that includes former Securities and Exchange Commission chair Jay Clayton and former Central Intelligence Agency general counsel Courtney Elwood.
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Trump expected to announce decision by Christmas
Fed chair and governor appointments are among the most direct levers available to a president in shaping the central bank. Treasury Secretary Scott Bessent is leading the selection process and told CNBC that Trump may reveal his choice "within the next month," potentially before the Dec. 25 holiday.
Trump appointed Powell during his first term but later clashed with him over the pace of interest rate reductions, repeatedly criticizing him for being "too late" to cut borrowing costs.
On Nov. 18, Trump said, "I think I already know my choice," without naming a candidate.
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Final contenders for the central bank's top role
In September, Trump said his top three candidates were Hassett, former Fed official Kevin Warsh, and current governor Christopher Waller.
Powell's term as chair expires in May 2026, although he may remain on the board as a governor for two additional years. If he chooses to step down, the administration could have another vacancy to fill in 2026, adding further weight to this year's appointment.
The Fed began lowering rates in September and October, each time by 25 basis points, after holding steady for most of 2025.
Internal divisions over the path of inflation and labor market conditions now make another reduction at the next meeting in December a close call .
Related: Markets turn uneasy as fresh inflation data tests Wall Street's confidence
This story was originally published by TheStreet on Nov 25, 2025, where it first appeared in the Policy section. Add TheStreet as a Preferred Source by clicking here.
