Trump Threatens Fed Chair, Demands Cook’s Resignation

U.S. President Donald Trump demands Fed Governor Lisa Cook’s resignation, threatens to remove Fed Chair Jerome Powell if non-compliant, raising concerns over central bank independence as of August 2025.

Trump’s threats to disrupt Fed leadership spark potential cryptocurrency market volatility amid interest rate policy speculation and political interference in economic decisions.

Trump Challenges Fed’s Leadership with Resignation Demand

Donald Trump has demanded the resignation of Fed Governor Lisa Cook and threatened to fire Chair Jerome Powell. This escalation came amidst broader pressures for lower interest rates. Trump has often criticized Jerome Powell and now targets Lisa Cook without substantiated claims.

The financial sector is bracing for potential shifts due to this conflict, with Trump’s call creating tensions over central bank independence. Despite pressure, both Powell and Cook maintain they will not yield to political demands. According to Adriana Kugler, a Former Board Governor of the Federal Reserve, the independence and policy focus are crucial to the Fed’s functioning.

Markets have reacted cautiously to Trump’s threats. Speculative activity is evident in crypto markets, with BTC and ETH showing increased volatility. Lisa Cook stated, “I have no intention of being bullied to step down from my position because of some questions raised in a tweet.” source

Crypto Market Volatility Amid Political Interference Fears

Did you know? In the Nixon-Eccles era, political interference in the Federal Reserve was common, significantly affecting market credibility and asset valuations.

Bitcoin is currently priced at $115,369.07, with a market cap of $2.30 trillion and a trading volume surge of 11.77%. Although BTC’s 24-hour change marks a 1.59% increase, it faces a 2.16% decline over the past week, as reported by CoinMarketCap.

According to Coincu research, continued political pressure on the Federal Reserve may shift financial and regulatory landscapes. Such pressures historically prompt volatility in both crypto and traditional markets, as independence from political influence remains a key market stabilizer. For those interested in detailed projects and policies of the Federal Reserve, the FAQs for building projects section could offer further insights.