2026-01-21 00:20:45

The latest buzz is here: US Treasury Secretary hints that Trump may announce a new Federal Reserve Chair as early as next week.

The key point is, the Treasury Secretary also threw two heavy punches—criticizing the Fed's annual losses of hundreds of billions, and saying that former Chair Powell's trip to the Supreme Court was a huge mistake.

This signal couldn't be more obvious. A major operation involving the heart of global currency is brewing in Washington. But this time, it's not a technical issue being replaced, but the entire power structure.

When the Treasury Secretary publicly criticizes the central bank's losses, and the President is eager to replace the long-standing independent leader, the issue is no longer just about interest rate adjustments. Essentially, it's about: who should the US dollar serve?

This has happened before in history. Whenever the independence of the central bank is weakened, and the fiat currency's credit foundation begins to shake, capital starts looking for alternatives—rules that are transparent, mechanisms that are open, and not controlled by a single will. After the 2008 financial crisis, Bitcoin emerged suddenly; after the massive liquidity injection in 2020, institutions flooded in. Now, with the Fed facing political pressure, it could once again trigger a value transfer.

In essence, the power struggle within the traditional financial system might become the strongest external driver for the crypto world. When the old order shows cracks, the attraction of a new order grows exponentially.

What do you think? If Trump successfully changes the leadership, will the Fed's rate cut pace accelerate or be dragged down? Share your thoughts in the comments. The most exciting dramas often unfold behind the scenes of power transitions.

BTC-1.27%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

12 Likes

Reward
12
5
Repost
Share

Comment

0/400

GateUser-c802f0e8

· 5h ago

Well, this move is indeed fierce. The Federal Reserve is about to be sidelined. The crypto world is about to take off again.

View OriginalReply0

DefiPlaybook

· 5h ago

According to data, in three historical cases of central bank independence weakening, the fiat currency depreciation averaged between 18-34%. Notably, such events often trigger institutional funds to shift into crypto assets within 3-6 months. The specific analysis is as follows: if the Federal Reserve is politicized, the short-term probability of interest rate cuts indeed increases, but the risk of long-term credit erosion is more concerning.

View OriginalReply0

MetaverseVagrant

· 5h ago

It's finally time for a change of leadership; Powell needs to step aside, and this time it's serious. The crypto market is about to take off, brothers. The internal conflict within the Federal Reserve is our opportunity. The independence of the central bank is gone, the credibility of the US dollar is declining, and BTC is surging upward—it's a historical pattern. It's another window of power transition, and those in the know are accumulating chips. The new chairperson will definitely be more relaxed than Powell; rate cuts will definitely accelerate, and the asset scarcity is back. Honestly, the politicization of the Federal Reserve has taken a step forward, and the credibility of traditional finance is losing fans. Isn't Bitcoin born for this moment? Transparent, decentralized, no one can manipulate it—now it truly has a place to shine.

View OriginalReply0

GasOptimizer

· 5h ago

Here comes again, this time really aiming to shake up the Federal Reserve's cheese. Power changeover = crypto circle celebration, this rule is so accurate. --- Why is Powell so annoying? He used to have a pretty independent image, but now with the Treasury Secretary calling him out, it really feels like the tide has turned. --- To put it nicely, it's a power restructuring; to put it bluntly, it's just about making the dollar more effective. We're all beneficiaries here, haha. --- It feels like there will really be big moves next week. Be prepared, everyone. Once the Fed gets chaotic, the crypto market will start to stir. --- 2008, 2020, now... every time the central bank gets politicized and hit hard, we make a profit. This logic is flawless. --- The core issue is the loosening of dollar credit. Why do I still need fiat currency? Storing some real assets is the only way to feel secure. --- The Treasury Secretary's tough words accusing the Fed of losses are definitely paving the way for a leadership change. Stay tuned for gossip next week.

View OriginalReply0

PumpDoctrine

· 5h ago

Now the Federal Reserve's independence is really about to be undermined, and the crypto world is about to take off again.

View OriginalReply0