Trump’s “Big Mistake” Sparks Viral Confusion—What He Really Meant About Kevin Warsh

President Donald Trump sparked a viral debate on social media after a February 9 interview on Fox Businesss Kudlow show, where he discussed his decision-making around Kevin Warsh, his nominee for Federal Reserve (Fed) Chair. Short clips circulating on X (Twitter) show Trump saying he made a big mistake, fueling confusion over whether he now regrets nominating Warsh. Trump Admits a Big MistakeBut Is It About Kevin Warsh or Powell? In full context, Trump was reflecting on 2017, when he chose Jerome Powell over Warsh, who had been the runner-up at the time. Trump said the decision was influenced by advice from then-Treasury Secretary Steven Mnuchin, calling it a really big mistake. Far from expressing current regret, Trump praised Warsh, describing him as a high-quality person capable of delivering extraordinary results if confirmed. Trumps comments included an eye-catching claim: if Warsh does the job that hes capable of, the US economy could grow as much as 15%. Notably, this projection is far beyond historical peaks of 47% growth in strong years. This bold statement has sparked widespread debate, with speculation that Warsh will be set up as a fall guy if such ambitious expectations are not met. drive economic growth to 15%a highly optimistic claim that highlights the pressure Warsh would face if confirmedsignal Trumps push for aggressive stimulus ahead of midterm elections and suggest a challenging path for Warsh, remarked Walter Bloomberg, a popular market commentator. Meanwhile, the remarks also have clear market implications. Analysts and crypto commentators have interpreted Trumps enthusiasm for Warsh as a signal that the next Fed leadership could favor lower interest rates, stronger liquidity, and pro-growth policies. Trump is directly signaling lower rates and stronger liquidity supportThis is the clearest signal yet that the next Fed direction could be more growth-focused and liquidity-friendly, analyst Bull Theory commented. With a Fed chair who will cut rates and dismiss concerns about inflation, such growth would normally push prices sharply higher. Warsh Nomination Sends Ripples Across Crypto, Markets, and Social Media Posts on X highlight potential implications for Bitcoin, gold, and other risk assets. The general sentiment is that Warshs policy approach could lead to easier monetary conditions, reminiscent of yield curve control or coordinated Treasury-Fed operations. Kevin Warshs FedTreasury accord idea matters for one reason:It would link the Feds balance sheet more directly to government financing needs.Think about it. If large bond purchases require Treasury coordination, then long-term rates stop being purely market-driven and Nic (@nicrypto) February 9, 2026 However, misleading captions and out-of-context clips have driven a spike in engagement, with some speculating about alternative nominees like Judy Shelton or questioning whether Warsh could be withdrawn. However, data on Polymarket shows a modest 3% probability of Trump nominating Shelton, against 95% odds in favor of Warsh. Odds Trump Fed Chair Prospects. Source: Polymarket Fact-check threads and full-clip posts are attempting to clarify that Trumps mistake comment referred to the past, not the present nomination. Memes, commentary, and speculation about inflation, debt levels, and Fed independence have made the discussion one of the most viral economic topics on X in recent days. Warsh himself has a history that blends traditional central banking experience with a measured openness to financial innovation. A former Fed Governor (20062011) and Hoover Institution senior fellow, he is known as an inflation hawk who favors fiscal restraint and a smaller Fed balance sheet. He has personal exposure to crypto, investing in projects such as Basis and Bitwise, though he views Bitcoin primarily as a store of value rather than a transactional medium. Sentiment suggests his tenure could indirectly support risk assets by providing macro stability and eventual clarity on rate policies. However, any direct crypto rally is unlikely until he assumes office in May 2026 and policy actions materialize.