U.S. President Donald Trump is set to sign an executive order that could allow access to cryptocurrencies within 401(k) retirement plans, significantly altering American investment strategies.
Trump's Executive Order and Its Impact
The White House confirmed the order directs the U.S. Labor Department to reevaluate restrictions on alternative assets in defined-contribution plans, including digital assets and real estate.
Potential for Cryptocurrency Investments
Americans will potentially gain access to digital assets through their 401(k) plans, part of a $12.5 trillion retirement market, allowing crypto firms to attract more retail investors.
Reactions from Regulators and Experts
A White House official stated that the directive calls for inter-agency coordination with the Treasury and the SEC to explore rule changes that may support the adoption of alternative investments in retirement products.
The potential changes in retirement plans could lead to greater inclusion of digital assets in the financial system, marking an important step for the crypto industry.
