Trump Reportedly Weighs 401 (k) Investment Shift to Include Crypto

Trump has the final say on whether its official

However, in a statement to Cointelegraph, White House spokesman Kush Desai said nothing should be deemed as official unless it comes from Trump himself.

“President Trump is committed to restoring prosperity for everyday Americans and safeguarding their economic future,” he said.

“No decisions should be deemed official, however, unless they come from President Trump himself.”

In May, the US Labor Department rescinded guidance issued during the Biden administration that limited the inclusion of cryptocurrency in 401(k) retirement plans.

Meanwhile, in April, Cointelegraph reported that financial services company Fidelity, which has $5.9 trillion in assets under management, introduced a new retirement account allowing Americans to invest in crypto.

Standard 401(k) focuses on stocks and bonds

A 401(k) is a retirement savings plan offered by many US employers that allows employees to save and invest a portion of their paycheck in the funds before taxes are taken out.

Typically, investments focus on mutual funds, exchange-traded funds, stocks and bonds, depending on the plan. The 401(k) market held $8.9 trillion in assets as of Sept. 30, 2024, in more than 715,000 plans.

At a state level, in March, North Carolina lawmakers already introduced bills in the House and Senate that could see the states treasurer allocate up to 5% of various state retirement funds into crypto like Bitcoin (BTC).

Other countries are looking at crypto in retirement plans

In November last year, the United Kingdom-based pension specialist Cartwright reported that an “unnamed scheme” had made a 3% allocation of Bitcoin into its pension fund.

Meanwhile, Japans Government Pension Investment Fund was also considering Bitcoin as a potential diversification tool in March last year.