New U.S. order could give Americans access to crypto in $12.5 trillion 401(k) market.
- Trump plans to sign an executive order affecting retirement investments.
- The move could let Americans include crypto in their 401(k) savings.
- It aims to update rules on alternative assets like digital currencies.
New Executive Order Targets 401(k) Investments
President Donald Trump will sign a new executive order. This will make U.S. retirement plans more open to alternative assets, like cryptocurrencies. The White House confirmed the plan and said it will direct the Department of Labor to review current restrictions. The order affects defined-contribution plans, including 401(k)s.
Opening Access to a $12.5 Trillion Market
This move could impact the entire U.S. 401(k) market, worth around $12.5 trillion. It may give everyday savers access to digital assets in their retirement accounts. Until now, only a few institutions have invested in crypto. Regular people have been left out due to concerns about risk and unclear rules.
More Support and Guidance Coming
The order also asks for improved guidance and stronger rules. The Labor Secretary will work with other agencies like the U.S. Treasury and SEC to review how crypto can be part of retirement plans. The government says it wants to make sure investors understand the risks involved.
Education and Transparency Important
SEC Chair Paul Atkins says investors need more education about crypto in 401(k) plans. It’s important people understand how these assets work and the possible risks. Atkins also says full disclosure will be key going forward.
Next Steps
Final approval will come from President Trump himself. The White House says no changes will happen unless Trump signs off. This step may bring exciting changes for long-term crypto investors, especially those saving for retirement.
Source: cointelegraph.com
