A coalition of House Republicans is urging the Securities and Exchange Commission (SEC) to promptly enact President Trump’s recent executive order that could significantly broaden investment options for Americans, potentially allowing them to invest in Bitcoin and other alternative assets through their 401(k) retirement accounts. Executive Order 14330, which was signed on August 7, directs the SEC and the Department of Labor (DOL) to revise existing regulations so that retirement savers can diversify their portfolios beyond traditional stocks and bonds.
The executive order emphasizes that “every American preparing for retirement should have access to funds that include investments in alternative assets,” contingent on the discretion of plan fiduciaries. This policy aims to empower average savers by enabling them to allocate a portion of their retirement savings into investments they are passionate about, including cryptocurrencies like Bitcoin.
In a recent letter addressed to SEC Chairman Paul Atkins, several lawmakers, including Chairman French Hill and Rep. Ann Wagner, praised the executive order for its potential to democratize investment opportunities. The lawmakers highlighted that current regulations restrict around 90 million Americans from accessing asset classes that have primarily benefited wealthy individuals. “Given these directives, we encourage the SEC to provide swift assistance to the Secretary of Labor and to make any necessary revisions to its current regulations and guidance,” the letter articulated.
The lawmakers also called for the SEC to review bipartisan legislation that is currently being advanced in the 119th Congress, which aims to modernize the definition of “accredited investor.” This change could further facilitate access to private markets and digital assets for ordinary Americans. By enabling the inclusion of alternative assets in retirement accounts, the executive order could create a new regulatory framework that fosters Bitcoin exposure within tax-advantaged plans.
Prominent committee members, such as Rep. Warren Davidson, have been ardent supporters of integrating Bitcoin into existing financial structures, framing it as a hedge against inflation and a viable long-term savings tool. The potential for Bitcoin to be included in retirement accounts represents a significant shift, particularly given that Americans have traditionally invested in fiat-denominated assets, which are designed to lose purchasing power over time.
If implemented, this executive order could pave the way for greater Bitcoin adoption across the United States. SEC Chair Paul Atkins is expected to discuss the implications of the executive order for retirement savers during an upcoming appearance on Fox Business, which may shed light on the regulatory changes that lie ahead.
