Fed Chair Frontrunner Rick Rieder Calls Bitcoin “Functional Gold” as Odds Hit 60%
BlackRock CIO Rick Rieder surges to 60% odds for Fed Chair, bringing a pro-Bitcoin stance that challenges the traditional gold standard.
BlackRock’s Global Fixed Income CIO Rick Rieder has emerged as the clear favorite to succeed Jerome Powell as Federal Reserve Chair, with prediction markets pricing his nomination at 60% odds. The surge in probability brings a historic first to the central bank: a potential Chair who has publicly defined Bitcoin as a superior alternative to gold.
The Receipt
While traditional candidates like Kevin Warsh remain in the conversation, Rieder’s ascent signals a distinct shift in Donald Trump’s monetary strategy. Unlike the skepticism often voiced by current Fed leadership, Rieder has explicitly argued that Bitcoin’s utility outstrips precious metals.
“Do I think it’s a durable mechanism that could take the place of gold to a large extent? Yeah, I do, because it’s so much more functional than passing a bar of gold around.”
This stance, originally articulated during his tenure at BlackRock and reiterated in recent market notes, aligns with the administration’s push for a “crypto-native” approach to dollar dominance.
Market Reaction
Bitcoin (BTC) held firm at $87,900 following the news, showing resilience against broader macro volatility. Traders are pricing in the “Rieder Put”, the expectation that a Rieder-led Fed would not only pursue dovish rate cuts but also integrate digital assets into the sovereign balance sheet conversation.
The divergence is visible in the data:
- Polymarket Odds: Rieder leads at 60%, widening the gap against Warsh (29%) and Waller (9%).
- Institutional Flows: BlackRock’s IBIT continues to see net inflows as the market anticipates a regulatory tailwind from the top down.
Why It Matters
A Fed Chair who views Bitcoin as a “store of value” rather than a “speculative asset” changes the risk calculation for every major bank. If confirmed, Rieder would likely face immediate pressure to clarify how digital collateral interacts with the Fed’s discount window, a technical shift that would effectively monetize Bitcoin at the state level.
