On August 7, 2025, Donald Trump signed an executive order allowing 401(k) plans to invest in cryptocurrency, private equity, and real estate. This change opens access to $12.5 trillion in assets, altering the landscape of retirement savings in the U.S.
Signing the Executive Order
Donald Trump signed an executive order permitting investments in cryptocurrency, private equity, and real estate through 401(k) plans. This decision broadens traditional investment options and could lead to increased institutional interest.
Market Reaction to the Announcement
Markets reacted positively to Trump's order, with Bitcoin reaching an all-time high of $116,850. This reflects strong investor interest and potential growth in institutional adoption of cryptocurrencies.
Implications for Financial Markets
The financial implications of this initiative may extend beyond cryptocurrencies to potential real estate and private equity investments. The retirement industry stakeholders are likely to start strategically incorporating alternative assets into their portfolios.
The signing of this order by Trump may be a pivotal moment for the further spread of cryptocurrencies in institutional investments, opening new horizons for funding and investments in retirement plans.