US President Donald Trump will sign an executive order that could allow cryptocurrencies to be included in 401(k) retirement plans, a move that could change how millions of Americans invest their savings.
The White House Press Office confirmed on Thursday that the order instructs the US Labor Department to review current restrictions on alternative assets in defined-contribution plans. These assets include digital currencies, private equity and real estate.
A senior White House official said the order directs the labour secretary to clarify the department’s stance on such investments and provide guidance on how fiduciaries can offer them responsibly in retirement portfolios.
$12.5 Trillion Retirement Market in Focus
If implemented, the order will open the $12.5 trillion 401(k) market to digital assets. This would give Americans a new way to gain crypto exposure, while offering crypto companies a major entry point to reach retail investors.
The move would be a major win for the crypto sector, which has long sought broader adoption and recognition in the financial system. While institutional investors have been slowly increasing their crypto allocations, most everyday savers have been kept out due to regulatory uncertainty, volatility risks, and fiduciary concerns.
The White House said the directive will also involve coordination with the US Treasury and the Securities and Exchange Commission (SEC) to explore possible rule changes that could help the inclusion of crypto and other alternative assets in retirement plans.
Previous Signals and Statements
Reports on 18 July suggested that President Trump was already considering crypto and other alternative investments for retirement savings.
White House spokesperson Desai said the president is committed to “restoring prosperity to everyday Americans and safeguarding their economic future,” adding that no policy should be treated as official unless announced directly by Trump.
In an interview with Bloomberg, SEC Chair Paul Atkins stressed the importance of investor education, particularly around the risks of crypto investments. He said transparency is essential, and people should fully understand what they are buying. Atkins added that he is looking forward to seeing the president’s next steps.
Labour Department Policy Shift
Earlier this year, the US Labor Department removed a previous warning against crypto in 401(k) plans. On 28 May, it revoked a 2022 guidance that told fiduciaries to be “extremely cautious” when considering cryptocurrencies for retirement investments.
This new executive order would mark a clear shift in Washington’s approach — from caution to potential adoption — signalling a new chapter for how Americans can invest for their future.
