New US order may allow Americans to invest crypto in retirement savings, while Ripple settles its case with the SEC.
- Trump signs executive order to review crypto in retirement accounts
- Ripple and SEC end legal case over XRP classification
- Stephen Miran to temporarily join US Federal Reserve Board
Crypto in 401(k) Plans Gains Support
President Donald Trump has signed an executive order that may let people in the US invest in crypto assets through their 401(k) retirement plans. The order tells the US Labor Department to review current rules blocking these types of investments.
Defined-contribution plans, which include 401(k)s, manage over $12 trillion in savings. Allowing crypto into these plans could bring major change to the industry. Bitwise CIO Matt Hougan said this could lead to a “slow, steady, consistent” demand for crypto, which might result in higher returns and less price swings.
Joshua Krüger from the dEURO Association said that Bitcoin (BTC) will likely be the first crypto added to retirement products. This is because Bitcoin already has strong institutional support.
Ripple vs. SEC Case Reaches Final Settlement
On the same day, the long legal fight between the US Securities and Exchange Commission (SEC) and Ripple Labs has officially ended. Both sides agreed to drop ongoing appeals. Each party will cover its own legal costs.
The case began in 2020 when the SEC accused Ripple of selling XRP as an unregistered security. A judge later ruled that XRP was not a security when sold to the public, but was when sold to institutional investors. With appeals withdrawn, the ruling is now final. Ripple must still pay a $125 million fine.
Trump Names Interim Fed Board Member
President Trump also announced he will nominate Stephen Miran to temporarily fill an open seat at the US Federal Reserve Board. Miran is expected to serve until January 2026.
The next Fed member could play a big role in shaping monetary policy and interest rates. Trump had also considered Kevin Hassett and Kevin Warsh for the position. Both have shown interest in blockchain and crypto. Hassett owns up to $5 million in Coinbase stock, and Warsh has said blockchain may help the Fed improve its payments system.
Source: cointelegraph.com
