Former President Donald Trump is reportedly preparing a significant policy shift that could reshape how Americans invest for retirement. According to a June 17 report from the Financial Times, Trump is considering an executive order that would allow 401(k) retirement accounts to invest in digital assets like Bitcoin, as well as gold and private equity.
This move would require federal regulators to revise existing restrictions on alternative assets in retirement accounts. If approved, it could unlock access to trillions of dollars in the U.S. retirement market and bring crypto and other non-traditional assets into mainstream financial planning.
$43 Trillion U.S. Retirement Market Could See Crypto Inflow
The U.S. retirement market is massive—estimated at around $43 trillion—with about $9 trillion held specifically in 401(k) accounts. Even a small allocation to crypto could be a game-changer. If just 1% of 401(k) funds were redirected to digital assets, that would mean a $90 billion injection into the crypto space.
Omar Kanji, a partner at crypto investment firm Dragonfly, called the proposed policy the “biggest unlock” for the digital asset sector to date. The initiative could pave the way for broader adoption of Bitcoin ETFs, direct crypto ownership in retirement accounts, and investments in blockchain-based companies—all of which would strengthen crypto’s position in traditional finance.
Tax Breaks for Small Crypto Transactions Also on the Table
In addition to retirement account access, the Trump administration is reportedly weighing a tax exemption for crypto transactions under $200. This change would remove the current reporting burdens for small everyday purchases made with digital currencies.
If enacted, this tax relief could encourage people to use Bitcoin and other cryptocurrencies more frequently as a form of payment, not just as speculative investments. It’s a step toward normalizing crypto in daily life and could help support broader usage across retail and e-commerce platforms.
As the 2024 presidential campaign heats up, this bold pro-crypto stance could attract voters interested in financial innovation, individual freedom, and modern investment tools. While it’s still in the planning stages, Trump’s proposal has already sparked widespread interest in how government policy might shape the next phase of digital finance in America.
