JUST IN TODAY: 401(k) rule change could allow trillions in new XRP investment
A brand new DOL rule pursuant to an Executive Order could open floodgates into XRP.
The US Department of Labor just published a proposed rule that could route well over $10 trillion in retirement savings into crypto. XRP, as one of less than a dozen specifically designated Digital Commodities by the SEC and CFTC, could stand to benefit the most.
This is one of the biggest regulatory developments of the year, and most people in the XRP community have no idea what just happened a few hours ago.
Today, March 31 (no, this is not an early April Fool’s joke!), the US Department of Labor published a proposed rule change in the Federal Register entitled, Fiduciary Duties in Selecting Designated Investment Alternatives.
In plain English: the federal government just told every 401(k), the most popular retirement savings plan in the US, that they can add crypto to their investment menus and gave them legal protection to do it.
Market Context
I’m going to break down exactly what this means for XRP.
Total US retirement assets exceed $49 trillion. Until now, almost none of that money has been allowed anywhere near crypto.
That is about to change as of today.
President Trump signed Executive Order 14330 last year, directing the Department of Labor to make it easier for retirement plans to include digital assets. Last May, the Dept. of Labor rescinded Biden-era guidance that told fiduciaries to exercise “extreme care” before adding crypto to 401(k) menus, or basically, the list of asset classes that investors can pick from.
Today’s proposed rule is the final piece of that Executive Order.
It creates a six-factor safe harbor covering performance, fees, liquidity, valuation, benchmarking, and complexity. These safe harbors give 401(k) plan fiduciaries legal permission and job cover to suggest crypto for 401(k) plans.
If a fiduciary follows the easy six steps outlined by the new ruleset, their decision is presumed prudent. Plaintiffs, not retirement advisors, who might ever try to sue bear the burden of proof.
That is a massive shift. The #1 reason 401(k) plans have avoided crypto was fear of lawsuits.
This new rule, just in today, eliminates that fear.
News
US Department of Labor publishes rule change to allow crypto investments in 401(k) retirement plans (FederalRegister.gov)
Nasdaq to fast-track IPO inclusion into benchmark indexes (Reuters)
Sens Cassidy (R-LA)and Lummis (R-WY) introduce Mined in America Act to formalize strategic BTC reserve (Senate.gov)
Dubai rolls out crypto derivatives framework (GulfNews)
California to require AI safeguards for firms seeking state contracts (Reuters)
42 members of Congress press CFTC and OGE on insider trading in prediction markets (Senate.gov)
CFTC blocks KuCoin parent from US, issues $500K penalty (Cftc.gov)
Russia and Iran reportedly using crypto to fund drone purchases (Reuters)
Senators Blumenthal (D-CT) questions SEC action on Justin Sun (Senate.gov)
Archblock, TrustToken, and TrueCoin file Chapter 11 (Protos)
Mitsubishi adopts $JPM’s Kinexys for blockchain payments (Nikkei)
51% still do not understand crypto taxes (Cointracker)
Nium launches stablecoin card issuance with Visa $V and Mastercard $MA (PRNewswire)
Bitget Wallet launches stablecoin payment infrastructure (GlobeNewswire)
NFL pushing Polymarket and Kalshi to halt manipulable markets (ESPN)
Nothing in this newsletter is financial or investment advice. We summarize news for informational and entertainment purposes only. We do not provide advisory services, guidance, or information regarding trading or investing. Past performance is not indicative of future results.
XRP Premium Analysis
Here is what most people are missing.
Only 4% of defined contribution plans like 401(k) plans…