Yesterday the White House published four new Presidential executive orders. One of them looks to expand the range of assets that can be included in 401(k) retirement plans, including certain digital asset investments. Another is an executive order that targets banks that may have participated in de-banking based on political or religious motives or other reasons. A few days ago, Ledger Insights explored rumors regarding a potential de-banking order more deeply.
On the 401(k) front, the order only makes a small mention of digital assets. It mainly looks to expand the range of assets that can be included in the plans, such as private equity and debt, real estate, commodities and certain digital assets.
The crypto clause is rather specific, covering “holdings in actively managed investment vehicles that are investing in digital assets”. So it excludes direct crypto investments. The vast majority of assets currently committed to digital assets via “investment vehicles” are in passive ETFs, such as BlackRock’s iBIT. Hence, these would not be eligible for inclusion in a 401(k). Last month Trump Media announced a crypto ETF that invests in five digital assets, the Truth Social Crypto Blue Chip ETF. That is also passive and hence ineligible.
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