US Treasury Secretary Scott Bessent has urged the Senate Banking Committee to proceed with confirmation hearings for Federal Reserve chair nominee Kevin Warsh, despite an unresolved Justice Department probe into current chair Jerome Powell.
Bessent pushed back on Republican resistance during a Fox News interview, after Senator Thom Tillis threatened to block all Fed nominations until the investigation into Powell is concluded.
“Why don’t we get the hearings underway and see where Jeanine Pirro’s investigation goes?”
Bessent said, referring to the probe opened earlier this year.
The investigation, led by US Attorney Jeanine Pirro, is examining whether Powell misled Congress over cost overruns tied to a $2.5 billion renovation of Federal Reserve buildings, allegations Powell has denied.
Warsh was nominated by Donald Trump on Jan. 30 and must first clear the Senate Banking Committee before a full Senate confirmation vote.
Crypto markets reacted sharply to the nomination, as Warsh is widely viewed as a hawkish policymaker, with bitcoin falling below $82,000 shortly after the announcement.
Since Warsh’s nomination, bitcoin has dropped more than 20%, triggering over $2.5 billion in liquidations and adding to broader crypto market volatility as investors reassess the policy outlook.
At the time of reporting, Bitcoin price was $70,122.45.