Michael Barr’s decision to step down as the Federal Reserve’s Vice Chair for Supervision has sent ripples through the U.S. financial and cryptocurrency sectors.

Barr’s resignation is fueling speculation about a more crypto-friendly stance under the incoming Trump administration.

Barr, who has been described by digital asset advocates as an “anti-crypto regulator,” announced his resignation would take effect Feb. 28, though he will remain on the Board of Governors. President-elect Donald Trump’s advisers have been vocal about their desire to demote Barr, a move that carried legal uncertainty and threatened to embroil the Fed in a protracted dispute over its independence.

Barr’s resignation arrives at a pivotal time for the…