401(k)

According to Reuters, the U.S. Department of Labor has proposed allowing 401(k) retirement plans to include alternative assets such as private equity and cryptocurrencies, aiming to break long-standing investment barriers.The proposal requires trustees to conduct strict reviews of factors such as asset performance, fees, and liquidity, with compliant parties receiving legal protection. Private equity giants like Blackstone, KKR, and Apollo are expected to tap into new sources of capital as a result, with related stock prices rising following the announcement. Treasury Secretary Yellen stated that this move is a preliminary measure to "protect retirement assets." The proposal will open a 60-day public comment period. Critics, such as Senator Warren, have warned that this move could expose retirement savings to high-risk assets.

According to CoinDesk, the U.S. Department of Labor has proposed a new rule that would allow 401(k) retirement plans to include alternative assets such as cryptocurrencies, private equity, and real estate, in response to an executive order signed by President Trump last year.If the rule is passed, it will change the traditional structure of retirement plans that primarily focus on stocks and bonds, allowing plan providers to include non-publicly traded products like digital assets. The Secretary of Labor stated that the rule aims to better reflect the current investment environment in retirement plans. Supporters believe this move could improve portfolio diversification, but Senator Elizabeth Warren warned that it could expose workers to higher risks, costs, and potential losses. U.S. 401(k) plans hold trillions of dollars in retirement savings, and even a small allocation to digital assets could bring significant inflows to the crypto market.

According to Cointelegraph, the Office of Information and Regulatory Affairs (OIRA) of the White House has completed its review of a proposal from the Department of Labor (DOL) regarding allowing 401(k) fiduciaries to include alternative assets (including digital assets) in the evaluation scope of retirement plans.OIRA marked the conclusion of this review as "change approved" and categorized the proposal as "economically significant." The Department of Labor is expected to release proposed rules next, initiating a 60-day public comment period, after which final rules are typically published following revisions. The completion of this review is a follow-up to the executive order issued by Trump on August 7, 2025.This executive order requires federal agencies to expand access to alternative assets in 401(k) plans, including gaining exposure to digital assets through specific investment tools, and mandates the Department of Labor to reassess regulations that restrict private equity, real estate, and digital assets from entering defined contribution plans, while also requiring the Treasury to collaborate with the SEC to support rule revisions.In May 2025, the Department of Labor rescinded a compliance guideline from the Biden administration that required fiduciaries to be "extremely cautious" when including cryptocurrencies in 401(k) plans, marking a fundamental shift in the federal government's attitude towards including digital assets in retirement plans.According to data from the Investment Company Institute, as of September 30, 2025, the financial assets in the U.S. retirement market have reached a record $48.1 trillion. Additionally, the Indiana state legislature passed a bill on February 25 requiring certain state retirement and savings plans to offer at least one cryptocurrency investment option by July 1, 2027.

A rule proposed by the U.S. Department of Labor to adjust 401(k) investment options has passed White House regulatory review and is expected to be released in the coming weeks. The rule may modify the fiduciary duty guidelines regulated by ERISA, allowing plan sponsors to include cryptocurrency and private equity as investment options.This proposal stems from an executive order previously signed by Trump, which directed relevant departments to promote alternative assets into the retirement account system. Currently, the rule is classified as "having significant economic impact" and is still pending further advancement.

According to Cointelegraph, the proposal supported by Trump to "allow cryptocurrencies and private equity to be included in 401(k) retirement plans" has passed White House review. The U.S. Department of Labor is expected to issue relevant rules soon.

Asset management company VanEck has partnered with fintech company Basic Capital to incorporate some digital asset ETFs into its corporate 401(k) retirement plan platform, allowing U.S. retirement savers to indirectly invest in crypto assets through exchange-traded funds. VanEck's products include the spot Bitcoin ETF VanEck Bitcoin Trust (HODL) and the Ethereum ETF VanEck Ethereum Trust (ETHV).Previously, the U.S. Department of Labor had withdrawn restrictive guidance on providing crypto investments in 401(k) plans.

According to market news, the U.S. Congress is urging the Securities and Exchange Commission (SEC) to approve the inclusion of Bitcoin and other cryptocurrencies in 401(k) retirement plans.Members of the House Financial Services Committee have written to SEC Chairman Paul Atkins, urging him to update securities rules to treat digital assets as an investment category equivalent to other alternative investments within retirement accounts. The lawmakers pointed out that Americans saving for retirement deserve more investment options, as current rules are outdated and overly restrictive, hindering millions from accessing new asset classes. They also emphasized the need to redefine the "accredited investor" standard. Currently, strict investor qualification regulations limit participation in certain private and alternative investment markets.Such plans are typically only available to wealthy or high-net-worth individuals. Congress now hopes to expand the rules to include individuals with professional licenses, relevant work experience, or those who can pass competency exams. The lawmakers also stated that the SEC should coordinate with the Department of Labor, which oversees retirement plan fiduciaries, to jointly develop rules. They believe that the two agencies need to find a safe and responsible way to incorporate alternative assets into the investment options of 401(k) plans.

ChainCatcher news, according to The Block, a new bill in the U.S. House of Representatives will implement an executive order signed by President Trump, which directs the Department of Labor to pave the way for including cryptocurrency and private equity investments in 401(k) retirement plans.Informed sources revealed that Republican Congressman Troy Downing from Montana will introduce the bill on Tuesday, titled the "Retirement Investment Options Act." The source stated, "The focus of the bill is to codify the executive order and give it long-term effect. The core driving force of the bill is to promote financial democratization and allow more people to access these alternative investments." The bill has four Republican co-sponsors: Representatives Byron Donalds, Buddy Carter, Warren Davidson, and Barry Moore. According to sources, there is currently no corresponding version of the bill in the Senate.

ChainCatcher News: U.S. Republican Congressman Troy Downing will introduce a new bill titled the Retirement Investment Choice Act on Tuesday, aimed at legislating an executive order previously signed by President Trump to allow cryptocurrencies and private equity to be included in the investment options for 401(k) retirement plans.The bill has the support of four Republican co-sponsors, including Byron Donalds, Buddy Carter, Warren Davidson, and Barry Moore. Downing stated that this move will enable more American savers to access high-potential alternative assets. Previously, the Biden administration had taken a cautious stance on including crypto assets in retirement plans.

ChainCatcher news, according to CNBC, U.S. President Trump signed an executive order on Thursday allowing alternative assets such as private equity, cryptocurrency, and real estate to enter workplace retirement plans. However, some investor advocacy groups warn that while these new investments may offer enticing returns, they also pose significant risks to long-term retirement savers.Jerry Schlichter, founding partner of the law firm Schlichter Bogard, which specializes in high-fee 401(k) litigation, stated, "The goal of ordinary people is to have a safe and reliable retirement plan, and new areas like cryptocurrency or private equity are fraught with various dangers for investors."Investment experts typically recommend allocating core long-term investment portfolios in diversified assets that can provide stable returns over the long term (at least several decades). Jerry Schlichter pointed out that given the long-term upward trend of the stock market, broad-based stock index funds are a suitable 401(k) investment choice.The issues with cryptocurrency are evident. Although certain cryptocurrencies have delivered astonishing returns, these assets have existed for too short a time to prove their safety. "Cryptocurrency has no long-term performance history, and its short- to medium-term performance is highly volatile," Schlichter said. "If you don't understand this investment, you shouldn't rely on it as a retirement asset."

ChainCatcher news, according to Bloomberg, Trump will sign an executive order on Thursday to relax investment restrictions on 401(k) retirement accounts. The order will instruct the Department of Labor to reassess the alternative asset investment guidelines under the Employee Retirement Income Security Act of 1974, allowing alternative assets such as private equity, real estate, and cryptocurrencies to be included in the approximately $12.5 trillion retirement account system. The Department of Labor will also clarify fiduciary responsibilities related to fund management that includes alternative assets.

ChainCatcher news, according to Bloomberg, the White House is preparing an executive order that will provide legal protections for 401(k) retirement plan managers, allowing them to include private market funds, cryptocurrencies, and other alternative assets in their investment options.Blackstone Inc. President Jon Gray stated that once the U.S. paves the way for 401(k) plans to expand into investment areas beyond stocks and bonds, leading firms in the alternative asset industry are most likely to benefit. This move will bring significant changes to the U.S. retirement savings market, providing ordinary investors with more diversified investment channels, while also potentially creating new business growth opportunities for large private equity management firms.

ChainCatcher News, the U.S. Department of Labor has officially rescinded its 2022 guidance that warned fiduciaries against including cryptocurrencies in 401(k) retirement plans. The previous stance called for "extreme caution," which was a departure from the Department's long-standing neutral approach under the Employee Retirement Income Security Act (ERISA).Labor Secretary Lori Chavez-DeRemer criticized the previous position as excessive government intervention, stating that investment decisions should be made by fiduciaries rather than bureaucrats.This reversal of position signifies the Department's return to a neutral stance—neither encouraging nor discouraging the inclusion of crypto assets in retirement plans.

ChainCatcher news, State Street's Anna Paglia plans to push ETFs into the U.S. 401(k) retirement system. State Street's Chief Business Officer Anna Paglia stated in an interview with Bloomberg Television that the bank is working closely with regulators, investors, and plan sponsors to overcome technical and regulatory barriers to allow ETFs into 401(k) plans. She believes that ETFs can play an important role in retirement portfolios, even though the current 401(k) system primarily relies on mutual funds. Paglia joined State Street in February of this year, previously serving as the global head of ETFs at Invesco. She firmly believes that the low cost and tax efficiency of ETFs are their advantages, even though capital gains taxes do not apply to 401(k)s, and intraday liquidity is not necessary in retirement accounts.

ChainCatcher news, according to Coindesk, U.S. Republican Senator Tommy Tuberville plans to introduce legislation on Wednesday that would restrict employers and investment firms from including cryptocurrency investments in 401(k) retirement benefit plans. (Source link)