Trump’s Executive Order Unlocks Crypto in 401(k)s

- Cryptocurrencies to gain legitimacy in U.S. retirement plans under Trump’s initiative. - Move aims to reshape investment frameworks and expand retirement portfolios. On August 7, 2025, The Block reported that President Trump will sign a landmark executive order allowing cryptocurrencies and other alternative assets in 401(k) retirement plans. This decision marks a pivotal moment for U.S. retirement investment frameworks, broadening the options available to American workers, and prompts the Labor Department to reassess how it applies the Employee Retirement Income Security Act (ERISA) guidelines to new financial tools like digital currencies. The initiative underscores Trump's vision to modernize retirement investment strategies and align them with rapidly evolving global financial markets. By enabling cryptocurrencies in 401(k)s, employers and employees can diversify their portfolios, reflecting the growing demand for digital assets as viable long-term investments. Furthermore, industry analysts suggest this bold move could propel cryptocurrencies into the mainstream, as their integration into retirement savings—one of the largest pools of individual capital—would drive this acceptance. This policy shift is expected to provide greater regulatory clarity for U.S. crypto markets, allowing the retirement investment sector to embrace digital assets alongside traditional options in a significant step forward. The development also coincides with remarkable milestones in the cryptocurrency landscape and could position the U.S. as a global leader in integrating new technologies into institutional financial systems. On August 7, the crypto market saw several other key developments. For instance, Ethereum reached a record 1.74 million daily transactions, while Ripple acquired stablecoin firm Rail for $200 million to enhance RLUSD functionalities. In regulatory news, Paxos agreed to a $48.5 million settlement with the New York State Department of Financial Services over compliance concerns tied to Binance's BUSD. Additionally, Chainlink announced a strategic LINK reserve to bolster its decentralized oracle network. Meanwhile, Bitcoin showed signs of instability following its July peak. As of 19:09 UTC on August 7, market data showed Bitcoin (BTC) trading at $116,567.29, reflecting a 0.895% change, and Ethereum (ETH) at $3,827.37, a 3.941% change. Ripple (XRP) was priced at $3.056, marking a 1.534% increase.