On August 7, Donald Trump signed an executive order that paves the way for investments in cryptocurrencies (@BTC @ETH, etc.) through 401(k) retirement plans. The total assets in these plans amount to around $9 trillion.
❗ Important: This does not mean that all $9 trillion will suddenly flow into cryptocurrencies. In practice, the allocation will be small. For illustration, let’s take a hypothetical 1% (about $90 billion) — a figure analysts often cite as a realistic upper limit in the initial stages.
What happens next
1️⃣ Work by the Department of Labor (DoL) and the SEC
The DoL must update regulations to allow cryptocurrencies in 401(k) investment menus.
The SEC must approve the fund structures (ETFs, trusts) through which retirement accounts can purchase crypto assets.
2️⃣ Public comment period
Typically 60–90 days for feedback from experts, companies, and the public.
3️⃣ Implementation by providers
Fidelity, Vanguard, Schwab, and others will need to set up infrastructure, establish agreements with crypto ETFs, and update their investment menus.
4️⃣ Gradual rollout
Initial offerings could appear within 6–12 months, but with limited allocations (e.g., up to 5% of a portfolio in crypto).
Full access is more likely in 1.5–2 years
How much money are we talking about?
💡 1% of $9 trillion = $90 billion.
Comparison to daily trading volume:
BTC — ~$60B/day → $90B = 150% of daily volume.
ETH — ~$49B/day → $90B = 184% of daily volume.
Even a fraction of this amount could noticeably impact prices.
But!
This $90 billion will not enter the market overnight.
More likely, it will be a gradual inflow — for example, around $7.5 billion per month over a year.
At that pace:
For BTC — about 12–13% of daily volume.
For ETH — about 15% of daily volume.
Such flows wouldn’t be a “tsunami,” but they would provide a steady tailwind for growth.
Conclusion: Trump’s order is not an instant flood of capital, but the start of a long process that will take 1–2 years. However, once the rules are finalized and the products go live, the crypto market could see inflows equivalent to several days’ worth of BTC and ETH trading volume.
