Republican Senator Thom Tillis said Sunday he will lift his hold on Kevin Warsh’s confirmation as Federal Reserve chair after the US Department of Justice concluded its probe into Jerome Powell.
In a post on X, Tillis said he had been assured that the DOJ’s three-month investigation into the Fed chair over the multibillion-dollar headquarters renovation project has been closed, and that he now looks forward to backing Warsh’s confirmation.
“I’ve been clear from the beginning: the U.S. Attorney’s criminal investigation into Chair Powell posed a serious risk to the Fed’s independence, and it needed to be resolved before I could support Kevin Warsh,” he added.
“I welcome the inspector general’s investigation. This is a necessary and appropriate measure, and I have confidence it will be conducted thoroughly and professionally.”
Tillis, a Republican member of the Senate Banking Committee, had the ability to stall the process by placing a procedural hold or withholding his vote, effectively blocking the committee from moving Warsh’s nomination to a full Senate floor vote.
Jerome Powell’s term is set to end on May 15, with Kevin Warsh expected to take over in the days that follow, pending full Senate confirmation. The Senate Banking Committee is scheduled to vote on April 29, while a full Senate vote has yet to be formally set but could take place during the week of May 11.
Warsh’s potential leadership of the US central bank has sparked debate over its implications for the crypto market.
A former Fed governor, Warsh is generally viewed as hawkish on fiscal policy and cautious about cutting interest rates—an approach that could weigh on higher-risk assets like cryptocurrencies.
At the same time, US President Donald Trump has repeatedly pushed for rate cuts, leading some to speculate that Warsh may adopt a more accommodative stance than Powell. However, Warsh has not clearly signaled his intentions, stating that Trump has not pressured him and emphasizing that Fed decisions will remain independent.
Warsh is also seen as relatively supportive of the crypto sector. Recent financial disclosures show he has exposure to more than 30 crypto projects, including assets like Solana and decentralized exchanges such as dYdX.
