Kevin Warsh, President Trump’s nominee to chair the Federal Reserve, filed his 69-page monetary disclosure with the U.S. Office of Government Ethics, clearing the final bureaucratic hurdle earlier than his affirmation listening to, now anticipated subsequent week.
The submitting reveals mixed property along with his spouse of no less than $192 million — but it surely’s the crypto-specific holdings buried deep within the doc that ought to curiosity this trade probably the most.
Warsh, via an online of enterprise fund buildings, holds fairness positions in additional than a dozen blockchain and digital asset firms spanning DeFi lending, decentralized derivatives, Layer 1 and Layer 2 networks, prediction markets, and Bitcoin funds infrastructure. And he has pledged to divest the vast majority of them.
The man who will oversee stablecoin regulation, financial institution crypto custody coverage, and any future central financial institution digital forex selections has, till now, been personally invested throughout the crypto ecosystem, although the dimensions of these holdings was unclear.
The Full Crypto Portfolio
CoinDesk reviewed the whole 69-page OGE Form 278e. Warsh’s crypto and blockchain-related holdings are concentrated in two fund buildings: DCM Investments 10 LLC (via a automobile referred to as Abstract Holdings) and a collection of funds labeled AVF I, AVF II, AVF III, and AVGF I and II. Here is each identifiable crypto and blockchain place:
DeFi and buying and selling protocols:
- Compound — Algorithmic crypto cash markets, one of many foundational DeFi lending protocols
- dYdX — Decentralized derivatives buying and selling alternate
- Lighter — Decentralized alternate protocol
- Eulith — Crypto buying and selling platform
Layer 1 and Layer 2 networks:
- Solana — High-performance Layer 1 blockchain
- Optimism — Ethereum scaling Layer 2
- Blast — Yield-generating Ethereum Layer 2
- Zero Gravity — Layer 2 AI blockchain platform
- DeSo — Social crypto community
Bitcoin-specific:
- Flashnet — Lightning Network Bitcoin buying and selling platform
- Lightning Network — Off-chain Bitcoin cost community (a direct holding)
Crypto funding and monetary infrastructure:
- Polychain — Crypto funding agency
- Scalar Capital — Blockchain funding agency
- Polymarket — Prediction market platform
- Lemon Cash — Crypto monetary companies platform
- Alpaca — Financial property API infrastructure
- OnJuno — Crypto-enabled neobank
- OneSafe — DeFi knowledge infrastructure
- Ridian — Crypto portfolio automation
- SkyLink — DeFi portfolio administration
- Caliza — Global USD banking platform
- Kinetic — Digital asset alternate platform
Web3, NFTs, and crypto-adjacent:
- Crossmint — NFT developer instruments
- CreatorDAO — Creator funding platform
- Friends With Benefits — Web3 group platform
- Dapper Labs — Consumer digital property (NBA Top Shot)
- Tenderly — Ethereum developer platform
- Vana — Incentivized knowledge assortment platform
- Structure (Zaibatsu Heavy Industries) — Blockchain retail buying and selling
- Metatheory — Web3 gaming (held individually as a direct SPV)
In addition, Warsh beforehand invested in Bitwise Asset Management, the agency behind one of many spot bitcoin ETFs, although that place doesn’t seem on the present disclosure.
What he has to promote — and what which means
Most of those crypto positions sit inside fund automobiles whose particular person line objects are reported with out greenback values, which, below OGE guidelines, means every is value lower than $1,000. In different phrases, they’re small enterprise bets, not concentrated positions.
But there are larger pots that nearly actually comprise crypto publicity. Warsh holds over $100 million in Juggernaut Fund LP, whose underlying property are shielded by confidentiality agreements. He additionally holds dozens of positions in THSDFS LLC, some valued at $1–$5 million individually, all equally opaque. Both would require full divestiture.
OGE certifying official Heather Jones flagged these in her overview, noting that Warsh will probably be in compliance with the Ethics in Government Act as soon as he completes the divestitures. The open query is how that divestiture performs out for illiquid enterprise stakes. Selling a place in Compound or dYdX token holdings is easy; unwinding LP stakes in Polychain or Bessemer Venture Associates funds isn’t.
The battle query
Even after promoting, Warsh will face a sophisticated recusal panorama. Federal ethics guidelines usually require a one-year cooling-off interval for issues immediately affecting current monetary pursuits. That might be related because the Fed weighs in on:
- Stablecoin laws: Congress is actively debating stablecoin frameworks that will outline which establishments can situation and custody stablecoins — immediately impacting DeFi protocols and crypto neobanks like these in Warsh’s portfolio.
- Bank crypto custody steerage: The Fed’s supervisory stance on whether or not banks can custody digital property has been one of the contested coverage questions in crypto since 2022.
- Tokenized deposits and securities: The Fed has a direct position in approving or discouraging financial institution experimentation with tokenized deposits, an space adjoining to a number of Warsh holdings.
- CBDC analysis: Though political help for a U.S. CBDC has cooled, the Fed’s ongoing analysis intersects with the cost community infrastructure represented by Lightning Network and Solana holdings.
The Bigger Picture
What’s putting is much less the dimensions of the crypto bets — most are small — however extra that they exist in any respect. This isn’t a nominee who passively held bitcoin via a brokerage account. Warsh intentionally sought publicity to the particular protocols, networks, and infrastructure firms that the Fed’s regulatory and financial coverage selections most immediately have an effect on.
His broader monetary profile underscores the purpose. Warsh earned $10.2 million in consulting charges from Duquesne Family Office, the funding arm of Stanley Druckenmiller, certainly one of crypto’s most outstanding macro traders. He collected $1.55 million from GoldenTree Asset Management, $750,000 from Cerberus Capital Management, and one other $750,000 in honoraria from Brevan Howard — all corporations with important digital asset buying and selling operations.
His talking price circuit within the first half of 2025 alone totaled over $780,000 from corporations together with TPG, Warburg Pincus, State Street, Eli Lilly, and Centerview Partners.
Combined with partner Jane Lauder’s estimated $1.9 billion web value, Warsh could be among the many wealthiest Fed chairs in fashionable historical past.
What comes subsequent
Senate Banking Committee chair Tim Scott (R-S.C.) mentioned Tuesday {that a} affirmation listening to will probably be held subsequent week. But Sen. Thom Tillis (R-N.C.) continues to dam any closing vote till the Justice Department drops its felony investigation of present Fed Chair Jerome Powell, whose time period expires May 15.
The crypto holdings will nearly actually come up in questioning. Senators on each side have grown extra centered on monetary conflicts on the Fed, and Warsh’s portfolio provides them particular, named firms to ask about.
For the crypto trade, the Warsh disclosure is a double-edged sign. On one hand, a Fed chair with private enterprise publicity to DeFi and blockchain infrastructure might have extra nuanced views on the expertise than predecessors who had none. On the opposite hand, the necessary divestiture and recusal obligations may constrain his capacity to behave on no matter sympathies these investments indicate — no less than within the first yr.
