news 
Trump Eyes Crypto for U.S. Retirement Plans – VC Calls it ‘Huge Unlock’
U.S. President Donald Trump is reportedly considering an executive order to open up retirement markets, including 401(k) plans, to alternative investments such as crypto and gold. This development has sent shockwaves throughout the cryptocurrency community, with a prominent venture capital partner describing it as a “huge unlock” for the industry.
According to a Financial Times report, Trump’s administration is planning to issue an executive order that would allow retirement funds to invest in assets beyond traditional stocks and bonds. The move would mark a significant shift in U.S. policy towards cryptocurrencies, which have been largely excluded from retirement plans until now.
The proposed change has the potential to unlock massive sums of money for investment in cryptoassets, with $9 trillion currently held in 401(k) plans. Even a small allocation of just 1% could result in an influx of over $90 billion in fresh inflows, according to Omar Kanji, an investment partner at crypto-focused venture capital firm Dragonfly.
This move would be a significant expansion of Trump’s pro-crypto agenda, which has already seen the Securities and Exchange Commission (SEC) roll back enforcement actions against major crypto platforms. The Federal Reserve has also relaxed previous restrictions on access to traditional banking services for cryptocurrency-related businesses.
Kanji, who made the comments in a tweet, believes that the potential influx of investment capital from retirement funds could be a game-changer for the industry. However, others may view the high volatility associated with crypto investments as a risk factor for retirement plans.
It remains to be seen whether Trump will move forward with this plan, but the possibility has sent shockwaves throughout the cryptocurrency community.
Source: ambcrypto.com
