Trump announces pick to fill crucial US Fed seat

Update (Aug. 7 at 8:33 pm UTC): This article has been updated to reflect that Donald Trump said he would nominate Stephen Miran to the Federal Reserve Board.

US President Donald Trump said he would nominate Stephen Miran, chair of the Council of Economic Advisors, to temporarily replace Federal Reserve Board of Governors member Adriana Kugler after her resignation becomes effective on Friday.

In a Friday social media post, Trump said Miran would serve at the Fed until Jan. 31, 2026, as the White House will “continue to search for a permanent replacement.” The president had reportedly been weighing economic adviser Kevin Hassett, former Fed governor Kevin Warsh and two other people to replace Kugler by the end of the week.

The next Fed board member will have significant influence over the country’s monetary policy, including federal interest rates. The incoming nomination, which must be approved by the Senate, follows Kugler’s resignation on Aug. 1. No reason was given for her departure.

Hassett, also director of the National Economic Council under Trump, disclosed holding a stake in Coinbase Global worth between $1 million and $5 million as of June. Warsh, who served as a Fed governor from 2006 to 2011, reportedly said that blockchain technology could benefit the US central bank with its payment systems.

Related: Trump to sign executive order punishing financial institutions for ‘debanking’: Report

Fed rates to influence US markets, including digital assets?

Trump has clashed with Fed Chair Jerome Powell, whom he nominated during his first term. The president has been publicly challenging the Fed’s independence in determining federal interest rates.