What really happened
On August 7, 2025, President Donald Trump signed an executive order allowing 401(k) retirement plans to include alternative assets such as cryptocurrencies, private equity, and real estate. This move is aimed at expanding investment opportunities under ERISA (Employee Retirement Income Security Act).
Now the Department of Labor, SEC, and other federal agencies must change existing regulations to include these alternative assets in the available list for 401(k). The transition may take months, potentially years.
This could open access to trillions in retirement assets ($9–12 trillion), potentially leading to a large-scale influx of capital into the crypto industry and alternative financial structures.
Adaptation of traditional financial institutions
1. Development of new products
Companies such as Fidelity, BlackRock, Vanguard, T. Rowe Price, TIAA, and Empower are beginning to prepare structured solutions — for example, managed sleeves in target funds with limited allocations to cryptocurrencies or private equity.
2. Focus on compliance and accountability
Providers will have an enhanced task — to ensure reasonable compliance with ERISA fiduciary duties, investor education, and liquidity and volatility risk management.
3. Gradual rollout and caution
It will take time before direct options are available — possibly up to 15 months. Many plans will first offer access to crypto through self-directed IRAs or brokerage windows before implementing full-fledged products.
4. New risks for participants
Increased fees, volatility, lawsuits — traditional financial institutions are actively assessing potential threats and ways to minimize risks.
Personally, would you invest part of your retirement funds in cryptocurrency?