Trump to Issue Executive Order Opening $9T Retirement Market to Crypto Investments
President Donald Trump is expected to sign an executive order in the coming days that would allow 401(k) plans and other retirement accounts to invest in digital assets, gold, private equity, and alternative investments. The move marks a significant shift in policy, as it follows the reversal of Biden-era restrictions and the passage of three crypto bills supported by Trump.
According to reports, the executive order will direct regulators to identify and eliminate barriers that prevent these asset classes from being included in professionally managed retirement portfolios. This move would open up the $9 trillion US retirement market to a broader range of investment options.
The decision is seen as a significant step towards mainstreaming digital assets and increasing access to alternative investments for Americans. However, critics warn that allowing 401(k) plans to invest in private equity, gold, and crypto assets could expose retail investors to greater risk.
Unlike traditional stocks and bonds, these assets are harder to value, more difficult to trade, and offer less transparency, potentially leaving savers vulnerable. The shift is expected to have significant implications for the financial services sector, as it will require institutions to adapt their investment offerings and risk management strategies.
Trump’s administration has been a strong supporter of cryptocurrencies and digital assets, and this executive order represents the culmination of efforts to bring these investments into mainstream finance.
Source: cryptobriefing.com