Federal Reserve's Miran Advocates for 100 Bps Rate Cuts

TLDR

• Miran supports over 100 bps cuts in 2026.
• Current rates are at 3.5-3.75% after a 25 bps cut.
• Potential cuts may boost cryptocurrencies like Bitcoin and Ethereum.

Federal Reserve Governor Stephen Miran has expressed support for more than 100 basis points (bps) of interest rate cuts in 2026. This announcement comes after his dissent in the December 2025 Federal Open Market Committee (FOMC) meeting where he favored a larger 50 bps cut. Meanwhile, financial markets have priced in expectations of only two rate cuts, reflecting a significant divergence in outlooks.

Miran’s stance is particularly relevant as it suggests a dovish monetary policy approach, contrasting with the FOMC's actual decision to implement a modest 25 bps cut, bringing rates to 3.5-3.75% on December 10, 2025. Miran has been involved in Federal Reserve policy-making, with his economic policy expertise influencing his viewpoint. More insights can be found in his November 7, 2025, speech on stablecoins' implications on monetary policy.

Economic Strategy Under Discussion

In his remarks, Miran emphasized that data-driven analysis supports the need for rate cuts exceeding 100 bps. This is based on inflation being near the Federal Reserve’s target of 2% and current policies being viewed as restrictive. Such conditions are seen as hindering economic growth, thus warranting more aggressive easing measures.

No direct statements from Miran's social media or personal blog confirm these positions. However, his views have been gathered from public speeches and FOMC meeting records. For official updates and details, refer to the Federal Reserve announcement on December monetary policy adjustments.

Market Reaction and Cryptocurrencies

The prospect of potential future rate cuts has implications for various financial assets, particularly cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH). Traditionally, dovish policy shifts—like rate cuts—can bolster risk assets by lowering borrowing costs and encouraging investment. This dynamic could contribute to strengthening crypto prices, although confirmation through on-chain data is currently lacking.

In similar past cases, Federal Reserve policy shifts towards easing have led to rallies in the crypto market. A notable example includes remarks by Fed Chair Jerome Powell in 2024, which caused a significant increase in Bitcoin prices. The potential for Miran's advocacy for stablecoin support through the GENIUS Act to spur market growth remains a point of interest.

Focus on Related Crypto Assets

A range of cryptocurrencies and digital assets could be influenced by these potential policy developments. Besides BTC and ETH, stablecoins such as USDT and USDC, as well as decentralized finance (DeFi) protocols and layer 1/2 assets, could be affected. Lower interest rates enhance the appeal of yield farming and liquidity, impacting governance tokens like UNI and AAVE.

Although no directly tied on-chain data or primary source information currently confirms these impacts, Federal Reserve estimates suggest the stablecoin supply could expand significantly, reaching $1-3 trillion by 2030. This growth may spur further adoption and demand for the U.S. dollar.