Arthur Hayes: More Focused on Warsh’s Balance Sheet Stance Than Short-Term Interest Rate Path

Odaily Planet Daily News Arthur Hayes stated at the Bitcoin 2026 conference that, compared to the direction of short-term interest rates, he is more focused on Federal Reserve Chair nominee Kevin Warsh's stance on the balance sheet, as this will affect dollar liquidity and the pricing of risk assets such as Bitcoin.

Hayes believes that market expectations of Warsh being "hawkish" may be overinterpreted. He predicts that the Fed is more likely to adjust liquidity through methods like asset swaps, without weakening the U.S. Treasury's debt issuance capacity.