Trump will sign an executive order: allowing 401k to invest in Bitcoin, gold, and private sale.

President Trump is about to sign a landmark executive order allowing the $9 trillion U.S. retirement savings market to invest in assets such as Bitcoin, gold, and private equity. This initiative will expand the investment scope of 401k plans, further promoting the implementation of its pro-encryption policies and providing legal protection for plan managers. This move is expected to benefit major investment firms, including BlackRock.

The executive order will break traditional investment restrictions and unleash the potential for Bitcoin allocation According to the Financial Times, the executive order will be signed as early as this week and will instruct federal agencies to lift current regulatory restrictions, allowing Bitcoin and private sale assets to be included in professionally managed 401k retirement accounts. Currently, most 401k accounts are limited to investing in stocks and bond funds.

Once the new policy is implemented, account managers can include digital assets such as Bitcoin in investment options, providing Americans with a broader way to save for retirement.

The White House stated that the president's goal is to help working families accumulate wealth and achieve financial security. However, the final decision still needs to wait for Trump's personal announcement.

Bitcoin mainstreaming accelerates, capital gains tax may be exempted This executive order is another step in Trump's strategy to mainstream Bitcoin. His administration had previously halted enforcement actions against large encryption companies and supported several pieces of legislation favorable to the digital asset industry.

In addition, a White House representative confirmed that the president also supports eliminating capital gains tax on small-scale crypto transactions, which would make everyday Bitcoin transactions tax-free and help promote adoption and usage.

It is worth noting that Trump has publicly stated that the encryption community played a key role in his winning the 2024 election. His family's company, Trump Media & Technology Group, has invested over $2 billion in crypto assets and has launched stablecoins and multiple token products.

Large companies may benefit first, private sale assets will enter 401k investment portfolios As early as May, the Labor Department led by Trump had revoked the guidance set by the Biden administration that restricted Bitcoin from being included in 401k accounts, paving the way for this executive order.

According to reports, large investment firms such as BlackRock, Blackstone, and Apollo are preparing to launch private sale asset products for retirement accounts, and it is expected that once this market opens, it will attract billions of dollars in new capital.

At the same time, the executive order also requires the Department of Labor to establish a "legal safe harbor" mechanism to clarify the exemption conditions for 401k managers when providing high-risk assets (such as Bitcoin, private sale equity, etc.), alleviating their legal liabilities due to volatility and liquidity issues.

Conclusion The Trump administration is comprehensively promoting the entry of Bitcoin and other encryption assets into the mainstream financial system through administrative means. The opening of the 401k market will undoubtedly bring a new round of institutional capital entry and legalization process. If the capital gains tax exemption policy is also implemented, it will further enhance the value storage function and payment attributes of Bitcoin. For the encryption industry, this will be a fundamentally beneficial institutional change.