Trump to bring crypto exposure to US 401(k) retirement plans, in new executive order
The world of savings and investment is going to change significantly over the next couple years.
Although many aren't impressed by how things are moving, those who understand how seemingly small changes can add up, understand how much impact these couple restructuring can have.
Crypto is going to become a major part of every monetary system and blockchain will take it a step forward by powering more than just monetary platforms.
Earlier today, Cointelegraph reported on Trump's plans to sign an executive order that would make digital assets exposure in retirement plans possible.
Most outside the US might not view reports like this to be worth discussing, but when we consider that this is $12.5 trillion market, everything changes.
US President Donald Trump will sign an executive order opening the door for cryptocurrencies to be included in 401(k) retirement plans, potentially reshaping how Americans invest their savings.
The White House Press Office confirmed to Cointelegraph on Thursday that the order directs the US Labor Department to reevaluate restrictions around alternative assets in defined-contribution plans, including digital assets, private equity and real estate.
A senior White House official said the order instructs the labor secretary to clarify the department’s stance on alternative assets and provide guidance on fiduciary processes for offering these types of investments in retirement portfolios. – Cointelegraph report
This move would bring employers into an active role of investing retail money into crypto assets over the next years.
Certainly, we cannot predict what percentage of the market will initially want exposure to these digital assets but we can expect that given the rate of developments and media coverage of this ecosystem, lately, a significant sum would be open to exploring this.
Just 5-15% interest would translate to roughly $625 million to $1.87 billion in potential capital add.
The best part of these developments, generally, is the ripple effects. You bring crypto exposure to 401(k), you drive new market interest that goes beyond retirement savings.
This means that more than just retirement capital would flow into crypto and that's the bigger picture that most are missing.
So, in other words, they are going to take it all from you, lock, stock, and barrel.