The Next Fed Chair Bet on DeFi, Bitcoin and Web3 — Now He Has to Sell It All

TLDR

Kevin Warsh, Trump’s pick for Fed chair, disclosed over 30 crypto and blockchain investments in a 69-page financial filing Holdings span DeFi protocols, Layer 1 and Layer 2 networks, Bitcoin infrastructure, and Web3 platforms Combined assets with his wife total at least $192 million, though individual crypto positions are listed without dollar values Warsh has pledged to divest most of his crypto holdings before taking the role His confirmation hearing before the Senate Banking Committee is set for April 21

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Kevin Warsh, President Trump’s nominee to lead the Federal Reserve, has disclosed a wide range of cryptocurrency investments in his official financial paperwork filed with the US Office of Government Ethics.

NEW: Fed Chair contender Kevin Warsh’s financial disclosure shows early stage investments held through an employment-linked vehicle that spans a wide range of tech, including some crypto infrastructure.

Some of the names include Compound (DeFi lending), Optimism and Blast…

— Eleanor Terrett (@EleanorTerrett) April 14, 2026

The 69-page filing reveals that Warsh holds equity positions in more than 30 blockchain and digital asset companies. These include DeFi lending protocols, decentralized exchanges, Layer 1 and Layer 2 networks, Bitcoin payment infrastructure, and Web3 platforms.

His combined assets with his wife, Jane Lauder, total at least $192 million. However, the individual crypto positions are listed without dollar values, which under ethics office rules means each holding is worth less than $1,000.

The crypto holdings are spread across two main fund structures: DCM Investments 10 LLC and a series of funds labeled AVF I, AVF II, AVF III, and AVGF I and II.

Among the named positions are Compound, a DeFi lending protocol, and dYdX, a decentralized derivatives exchange. Warsh also holds stakes in Solana, Optimism, and Blast, which are Layer 1 and Layer 2 blockchain networks.

On the Bitcoin side, his portfolio includes Flashnet, a Lightning Network trading platform, and a direct holding in the Lightning Network itself.

Divestiture Required Before Taking Office

Warsh has pledged to sell the majority of these crypto holdings. Ethics officials have confirmed he will be in compliance once those sales are completed.

However, selling some of these positions may not be straightforward. Unwinding LP stakes in funds like Polychain or Bessemer Venture Associates is more complex than selling publicly traded assets.

He also holds over $100 million in the Juggernaut Fund, whose underlying assets are protected by confidentiality agreements. That fund will require full divestiture.

Even after selling, federal ethics rules require a one-year cooling-off period for matters that directly affect recent financial interests.

Regulatory Conflicts Could Limit His Role

This matters because the Fed chair has direct influence over stablecoin legislation, bank crypto custody policy, and any future central bank digital currency decisions.

Several companies in Warsh’s portfolio operate in areas that the Fed is actively reviewing. That includes DeFi protocols, crypto neobanks, and payment network infrastructure.

Warsh earned $10.2 million in consulting fees from Duquesne Family Office, the investment arm of Stanley Druckenmiller, one of the more prominent macro investors with crypto exposure.

Senator Thom Tillis is currently blocking a final Senate vote on the nomination until the Justice Department drops its criminal investigation into current Fed Chair Jerome Powell.

Powell’s term ends May 15. The Senate Banking Committee has scheduled Warsh’s confirmation hearing for April 21.

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