Trump Opens Up 401(k) Plans to Crypto

Executive order embraces 'alternative assets' in retirement savings
Posted Aug 8, 2025 10:13 AM CDT
Trump Clears Way for 401(k)s to Include Crypto
President Trump speaks as he signs a proclamation declaring National Purple Heart Day in the East Room of the White House, Thursday, Aug. 7, 2025, in Washington.   (AP Photo/Mark Schiefelbein)

President Trump has made a notable move regarding how people might save for retirement. Trump signed an executive order designed to make it easier for Americans to invest their 401(k) retirement savings in alternative assets such as cryptocurrencies, private equity, and real estate, reports the Guardian. The move opens up the $12 trillion retirement market to asset classes beyond traditional stocks and bonds.

  • The New York Times notes that current rules do not explicitly prohibit such investments, but the Labor Department—which oversees retirement plans—warns against them. The order from Trump, whose administration and family business have embraced the crypto industry—directs the department to reevaluate its guidelines and rules. It's a "significant shift" from the Biden administration, the story notes.
  • Supporters say the move could offer savers a wider range of investment opportunities and potentially higher returns, especially for younger workers willing to take on more risk.
  • Critics, however, warn that bringing more speculative assets like crypto into retirement accounts could jeopardize long-term financial security. Cryptocurrencies, in particular, are notorious for their volatility and exposure to fraud.

Read These Next
Get the news faster.
Tap to install our app.
X
Install the Newser News app
in two easy steps:
1. Tap in your navigation bar.
2. Tap to Add to Home Screen.

X