Overview
- A Republican-backed measure, H.R. 7737, introduced on Feb. 26, would allow Trump Accounts to hold digital‑asset indexes and is before the House Ways and Means Committee.
- Under current Treasury and IRS guidance, funds must be invested in mutual funds or ETFs that track broad U.S. equity indexes such as the S&P 500.
- Parents can elect an account using new Tax Form 4547 now, with an online portal slated for July 5 when contributions are scheduled to begin.
- Eligible newborns born from 2025 through 2028 receive a one‑time $1,000 federal seed; contributions are tax‑deferred up to $5,000 a year, and withdrawals typically begin in the year the child turns 18 before the account is treated like a traditional IRA.
- Private pledges include $1,000 matches from firms such as JPMorgan Chase, Bank of America, SoFi, BlackRock, and Robinhood, plus a $6.25 billion Dell pledge adding $250 for children under 10, while experts caution about all‑equity exposure and note 529 plans may be more efficient for college.