New GOP bill aims to codify Trump's executive order on crypto and private equity in 401(k) retirement plans

A new House bill would cement U.S. President Donald Trump's executive order directing the Labor Department to pave the way for cryptocurrency and private equity to be offered in 401(k) retirement plans.

Rep. Troy Downing, R-Mont., will introduce that bill on Tuesday, called The Retirement Investment Choice Act, a source familiar told The Block. Politico previously reported the news.

"Alternative investments hold the transformative potential to supercharge the financial security of countless Americans saving for retirement," Downing said in an emailed statement. "I applaud President Trump for his leadership to democratize finance and am proud to be leading the effort in Congress to codify his EO and enshrine this move for generations to come."

In August, Trump signed an executive order directing the Labor Department, the Securities and Exchange Commission, the Treasury Secretary, and others to consider ways to allow investments in crypto, private equity, and other alternative assets.

That marked a departure from the previous Biden administration, during which the Labor Department raised concerns around the idea that crypto can produce outsized returns and cautioned that it could cloud investors' judgment and attract inexperienced investors. That was later reversed under the Trump administration.

The new bill adds "more permanency," a person familiar said.

"The big deal is codifying the EO [executive order] and giving that permanency, democratizing finance being the overarching theme here of making these alternatives more widely available is really what's driving the bill itself," the person said.

The bill has four Republican cosponsors — Reps. Byron Donalds, Buddy Carter, Warren Davidson, and Barry Moore. There is no Senate version of the bill, the person said.