The Biden administration’s Treasury secretary is ready to leave the government after the midterm elections. According to Axios, Janet Yellen’s departure could lead to a massive reshuffle of the president’s economic team.
The United States of America is currently experiencing a macroeconomic crisis. Market participants have criticized Janet Yellen for underestimating the financial situation.
Janet’s departure after the mid-term elections is still uncertain. Any potential cabinet nominee must be confirmed by the Senate. The midterm elections will dictate which political party will control the legislative body after November 8. If Republicans control the Senate after the elections, it may hinder the administration’s plan to overhaul.
Polls currently show the president’s Democratic party leading in the Senate race.
Janet Yellen’s impact on crypto-currencies
The U.S. Treasury is an important position for the potential adoption of crypto-currencies in the United States. The Office of Foreign Assets Control has recently been in the news for censoring the crypto-currency blending service, Tornado Cash. OFAC is part of the U.S. Treasury and sanctioned Torndao due to alleged money laundering activities.
Janet Yellen has also made anti-crypto comments. She advised against using bitcoin for retirement savings. In another speech, she highlighted the various risks associated with crypto technology. During the crypto winter, she stressed the need for crypto regulation after the Terra-LUNA crash.
Janet Yellen also plays an important role in the country’s macroeconomics. In a recent commentary, Yellen states that she does not see erratic market functioning. Market participants did not like her statements as the economy continues to struggle with the twin threats of recession and inflation.
Who can be the successor?
According to Axios, Commerce Secretary Gina Raimondo and Federal Reserve Vice Chairwoman Lael Brainard may succeed Janet Yellen. It remains to be seen whether their appointment will help the crypto community.