President Donald Trump has signed an executive order that unlocks the $9 trillion US retirement market to cryptocurrencies, private equity, and other alternative assets. This move allows 401(k) plans to include digital assets for the first time. It marks a seismic shift in how Americans save for retirement.
The executive order, signed today, directs US regulators to revise restrictions. These changes target the Employee Retirement Income Security Act (ERISA).
ERISA governs 401(k) and other defined-contribution plans. The order instructs the Labour Department and Securities and Exchange Commission (SEC) to clarify fiduciary rules. This will enable plan sponsors to offer crypto, private equity, and real estate in retirement portfolios.
Over 90 million US workers participate in 401(k) plans. These plans traditionally focus on stocks, bonds, and mutual funds. Alternative assets like Bitcoin, Ethereum, private equity, and gold were largely excluded as high fees, low liquidity, and regulatory hurdles kept them out. Trump’s order changes that. It builds on his administration’s prior efforts to ease crypto restrictions. In May 2025, the Labour Department reversed Biden-era guidance discouraging crypto in retirement plans.
“This is a defining moment for crypto,” says Nigel Green, CEO of deVere Group. “The world’s largest economy is embracing digital assets. They now belong in long-term wealth strategies. This has global implications.”
Trump opens crypto to a $9 trillion opportunity
The US 401(k) market holds roughly $9 trillion in assets. Some estimates peg the total defined-contribution market at $12.5 trillion. Even a small allocation to crypto could unleash massive demand. Analysts predict hundreds of billions could flow into digital assets. This would drive infrastructure growth, innovation, and broader acceptance.
Bitcoin has surged in 2025, hitting new all-time highs. Corporate adoption, sovereign interest, and regulatory clarity fuel this rally.
“Retirement savings are ultra-conservative,” Green explains. “If crypto earns a place here, it can thrive anywhere. This breaks psychological and regulatory barriers. Crypto is now on the main stage.”
The US isn’t acting alone. Other economies may follow suit. In Europe, regulators face pressure to modernise pension rules. Asia, with high crypto adoption, is watching closely. The order could set a precedent. Pension funds and sovereign wealth managers worldwide may rethink their strategies.
“This move signals a political embrace of crypto,” says Green. “It’s no longer just for speculative traders. It’s part of the financial DNA now.”
Asset managers like BlackRock, Apollo, and Blackstone stand to benefit. They’ve lobbied for years to tap retirement funds. BlackRock plans a 401(k) target-date fund with 5-20% private investments by 2026. Apollo and Empower are also developing products. These firms see retirement plans as a growth frontier.
For investors, the order opens new doors. 401(k) participants can diversify beyond stocks and bonds. Private equity and crypto offer higher potential returns. Historically, private equity has outperformed public markets. Bitcoin has beaten the Nasdaq in five of the last six years.
But risks loom large. Crypto markets are volatile. Private equity is illiquid, with high fees and less transparency. Experts warn of fiduciary risks under ERISA.
Michael Ryan, founder of MichaelRyanMoney.com, calls the move “revolutionary” for savvy investors. But he cautions, “The average American doesn’t understand blockchain. A 50% crypto drop could spook retirees.”
Green remains optimistic. “With diversification and oversight, the benefits are compelling,” he says. “Investors want exposure to the future. This lets them build it safely.”
This order builds on a 2020 Labour Department letter from Trump’s first term. It allowed private equity in target-date funds under strict conditions. The Biden administration later affirmed this stance. Now, Trump’s order pushes further, encouraging a wider range of assets.
The order directs regulators to act swiftly. The Labour Department and SEC will explore rule changes. They’ll clarify how fiduciaries can safely include alternative assets. Bitcoin exchange-traded funds (ETFs) and other crypto products may soon enter 401(k) plans.
The crypto industry sees this as a watershed moment. “Institutional capital from retirement accounts was the final frontier,” Green says. “This makes crypto’s integration into traditional finance irreversible.”
Trump’s order reflects a broader trend. Crypto is gaining legitimacy. States like North Carolina and Wisconsin are already allocating retirement funds to Bitcoin and Ethereum ETFs. The House passed three crypto-friendly bills in July 2025, signalling political momentum.
Globally, capital markets are interconnected. The US move could prompt other nations to act. “This isn’t just about America,” Green concludes. “It’s a signal to the world. Crypto is here to stay.”
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