- Trump’s executive order directs regulators to remove barriers, enabling 401(k) plans to include Bitcoin and other cryptocurrencies.
- Major firms like Blackstone, Apollo, and BlackRock are positioned to manage new crypto investments for retirement plans.
- This move follows May’s Department of Labor rule reversal supporting crypto inclusion in retirement portfolios.
President Donald Trump is about to sign an executive order that would facilitate Americans investing their 401(k) retirement savings into Bitcoin and other cryptocurrencies. This is anticipated to redefine the way 9 trillion dollars of retirement money are managed in America this week.
Trump to Unlock Alternative Investments for 401(k) Plans
The Financial Times reports that the executive order will instruct federal regulators to eliminate barriers preventing 401(k) plans from including non-traditional assets. These include cryptocurrencies like Bitcoin, as well as gold, private equity, infrastructure deals, and corporate buyout funds.
“Donald Trump is preparing to open the $9tn US retirement market to cryptocurrency investments, gold, and private equity in a move that would spur a radical shift in the way Americans’ savings are managed,” stated the Financial Times in its latest coverage.
A White House spokesperson told the Financial Times, “President Trump is committed to restoring prosperity for everyday Americans and safeguarding their economic future.” However, the official added, “No decisions should be deemed official, however, unless they come from President Trump himself.”
Major Investment Firms Positioned to Benefit
The Financial Times also noted that major investment firms are already preparing to capitalize on the changes. “Blackstone has struck a partnership with Vanguard, while Apollo and Partners Group are among firms that will offer investments to Empower, a large 401(k) plan sponsor,” it reported.
Additionally, BlackRock has begun working with Great Gray Trust, a third-party manager of retirement savings plans, to offer access to a broader range of investment options, including crypto.
The move follows a related decision in May by the Department of Labor, which reversed a previous rule discouraging crypto in retirement plans. This opened the door for broader support of Bitcoin as part of retirement strategies.
Crypto Policy Builds on Legislative Momentum
The executive order is in line with Trump’s broader crypto strategy. The Financial Times stated that “Trump has also supported recent bitcoin and other crypto-related bills passed by the House and credited the industry with helping him win the 2024 election.”
This policy reflects an expanding interest in digital assets at the federal level. By formally directing regulators to update guidance for 401(k) plans, the order would integrate cryptocurrencies like Bitcoin into mainstream retirement options, giving Americans greater financial choice through one of the nation’s largest investment vehicles.
