Overview
- Rep. Troy Downing introduced the one-page Retirement Investment Choice Act in the House Financial Services Committee, with Republican co-sponsors including Byron Donalds, Warren Davidson, Marlin Stutzman, Buddy Carter and Barry Moore.
- Executive Order 14330 directs the Labor Department and SEC to expand access to alternative assets such as cryptocurrencies in defined-contribution plans and gives the DOL 180 days to propose rules.
- In May, the Labor Department withdrew its 2022 warning against crypto in 401(k)s, and policymakers have discussed possible safe-harbor protections that could influence plan sponsors’ willingness to offer such options.
- Analysts say even a small allocation from the roughly $12 trillion 401(k) market could translate into tens to hundreds of billions of dollars flowing into digital assets.
- The bill faces political and stakeholder pushback, with Democrats and union groups warning of risks to retirement savers and financial stability, and no Senate companion currently filed.