Ethiopian Economy Surges Amid US Interest in Crypto Assets

US workers are investing in equities through their 401(k) retirement accounts, with nearly $4 billion of new money flowing into digital assets last week. Ethereum ETPs attracted $2.87 billion in new assets, bringing year-to-date inflows to a record $11 billion. President Trump's executive order "Democratizing Access to Alternative Assets for 401(k) Investors" has fueled the boom. BlackRock's ETF arm, iShares, dominated the action, with inflows into the Ethereum Trust ETF and Bitcoin Trust ETF.

US workers are investing in equities through their 401(k) retirement accounts, with nearly $4 billion of new money flowing into digital assets last week. Ethereum ETPs attracted $2.87 billion in new assets, bringing year-to-date inflows to a record $11 billion. President Trump's executive order "Democratizing Access to Alternative Assets for 401(k) Investors" has fueled the boom. BlackRock's ETF arm, iShares, dominated the action, with inflows into the Ethereum Trust ETF and Bitcoin Trust ETF.

According to CoinShares' weekly research blog, digital asset investment products saw $3.75 billion inflows, the fourth-largest on record, driving AuM (assets under management) to an all-time high of $244 billion [1]. Ethereum led with $2.87 billion inflows (77% of total), pushing YTD inflows to a record $11 billion, far surpassing Bitcoin on a proportional basis. Solana and XRP saw inflows of $176.5 million and $125.9 million, respectively. Conversely, Litecoin (LTC) and Ton (TON) saw outflows of $0.4 million and $1 million, respectively.

The executive order signed by President Trump allows 401(k) plans to include cryptocurrencies, unlocking $12.5 trillion in retirement assets for Bitcoin investment [2]. This policy shift has significant implications for the cryptocurrency market, particularly Bitcoin. MicroStrategy (MSTR), holding 3% of Bitcoin's supply, is positioned to benefit from this new influx of retirement capital. The company's $73B Bitcoin holdings and $10B Q2 net income from crypto gains position it to benefit from potential $90B in new 401(k) inflows.

However, the policy changes also come with risks. MicroStrategy's stretched valuation (1,200+ P/E) and leveraged structure expose it to risks: a 10% Bitcoin drop could erase $7.3B in value, while regulatory delays may slow adoption. Despite these risks, the policy tailwinds are real, and the company's position as a leveraged proxy for Bitcoin is hard to ignore.

The road ahead is uncertain, but the potential rewards are monumental. For those with a high-risk tolerance and a long-term horizon, MicroStrategy offers a unique opportunity to participate in the crypto revolution through a corporate vehicle. Diversification and caution remain key.

References:
[1] https://dailyhodl.com/2025/08/18/ethereum-dominates-institutional-attention-as-crypto-products-see-3750000000-in-flows-coinshares/
[2] https://www.ainvest.com/news/401-reform-bitcoin-reserve-strategy-era-microstrategy-mstr-2508/