Bitcoin News Today: Bitcoin jumps over 2% as Trump set to sign crypto 401(k) executive order

Generated by AI AgentCoin World
Thursday, Aug 7, 2025 8:31 am ET1min read
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Aime RobotAime Summary

- Trump's executive order to allow Bitcoin in 401(k)s drove BTC to $116,000, signaling institutional adoption acceleration.

- The directive mandates DOL to revise ERISA guidelines, potentially unlocking $12.5T retirement funds for crypto investments.

- Analysts highlight fiduciary clarity removal as key, enabling sophisticated retirement products and boosting institutional confidence.

- Over 200 firms added BTC to balance sheets, with $53.7M in new acquisitions and $21M Bitcoin-denominated bonds issued.

- $30B in 24-hour trading volume reflects market anticipation of retirement integration, though regulatory scope extends beyond Bitcoin.

Bitcoin surged past $116,000 on Thursday, rising over 2% following reports that U.S. President Donald TrumpTRUMP-- is set to sign an executive order permitting BitcoinBTC-- and other cryptocurrencies in 401(k) retirement accounts. This development, if enacted, could unlock a substantial influx of institutional capital into the crypto market by integrating Bitcoin into the $12.5 trillion retirement savings ecosystem [1].

The executive order is expected to instruct the U.S. Department of Labor to reassess existing guidelines related to alternative investments under the Employee Retirement Income Security Act of 1974 (ERISA). By doing so, it could significantly increase public access to Bitcoin through retirement accounts, a move that industry observers describe as a watershed moment for the broader adoption of digital assets [1].

“This executive order has the potential to fundamentally reshape the institutional landscape for Bitcoin,” industry analysts noted. By removing a key regulatory barrier—specifically the ambiguity around fiduciary duties for retirement plan providers offering crypto investments—the order could encourage the development of more sophisticated investment products tailored for retirement portfolios [1].

Recent corporate activity also highlights growing institutional confidence in Bitcoin. Over the past months, more than 200 public companies have added Bitcoin to their balance sheets. For instance, Metaplanet recently acquired 463 BTC, valued at $53.7 million, while Smarter Web Company issued a $21 million Bitcoin-denominated convertible bond [1].

Industry participants suggest the timing of the executive order aligns with an upward trajectory in Bitcoin’s institutional acceptance, both as a store of value and as an investment vehicle. Emerging financial instruments, such as Bitcoin-backed bonds and preferred shares, indicate the market is already preparing for greater participation from institutional investors [1].

The news prompted a sharp increase in trading volumes on major exchanges, with over $30 billion in Bitcoin traded globally in the 24-hour period following the announcement. This surge in activity reflects investor expectations of the long-term implications of integrating Bitcoin into retirement savings structures [1].

The executive order is not limited to Bitcoin; it is also expected to support the inclusion of other alternative assets like private equity and real estate in 401(k) plans. However, Bitcoin remains the central focus of this regulatory shift due to its dominant role in the crypto market [1].

Source: [1] Bitcoin Price Rallies To $116,000 As Trump Set To Sign An EO To Allow Bitcoin And Crypto To 401(k)s (https://bitcoinmagazine.com/markets/bitcoin-price-rallies-to-116000-as-trump-set-to-sign-an-eo-to-allow-bitcoin-and-crypto-to-401ks)

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