US President Donald Trump is set to sign two major executive orders that could reshape both the banking and retirement investment landscape in the United States. One order aims to end the practice known as “debanking,” while the other opens the door for cryptocurrencies and other alternative assets to be included in 401(k) retirement plans.
These moves mark a significant shift in financial policy, reflecting the administration’s push towards crypto-friendly regulations and broader investment freedoms for Americans.
Ending “Debanking” in US Banks
The first executive order directly addresses “debanking” when banks deny or restrict services to customers based on political or religious beliefs. The order will instruct federal banking regulators to remove “reputational risk” language from their guidance to lenders, a concept critics say has been used to justify denying accounts to certain individuals, industries, and businesses, including cryptocurrency firms.
Trump’s order will also require regulators to review both past and current bank policies that may have encouraged politically motivated account closures. Institutions found to have violated equal credit laws or consumer protection regulations could face enforcement actions and financial penalties.
The move is partly in response to allegations of a modern-day “Operation Chokepoint 2.0,” where crypto companies claim they were systematically denied banking access under the Biden administration. According to Trump, even he was affected, alleging that JPMorgan Chase and Bank of America rejected his business after his first term.
JPMorgan denies closing accounts for political reasons but has voiced support for regulatory reforms. “Regulatory change is desperately needed,” a spokesperson said.
Crypto and Other Assets in 401(k) Retirement Plans
In a separate order, President Trump will authorise the inclusion of cryptocurrencies, private equity, real estate, and other alternative investments in US 401(k) retirement plans. The US Labour Department will be tasked with reviewing and updating guidance to make these options available, ensuring they comply with the Employee Retirement Income Security Act of 1974.
This change could impact the roughly $12.5 trillion currently held in American retirement accounts, offering savers new ways to diversify their portfolios.
The decision follows Trump’s “Crypto Week” at the White House earlier in August, where he signed the Genesis Act, the first federal law regulating stablecoins, requiring all stablecoins to be pegged 1:1 with the US dollar.
Boost for the Digital Asset Market
Allowing crypto in retirement accounts is expected to significantly boost the digital asset market. Supporters believe that early allocation could generate substantial long-term gains, especially if adoption increases over the coming decades.
By making alternative assets more accessible to ordinary investors, the administration hopes to stimulate innovation and growth in emerging sectors, particularly blockchain and decentralised finance.
The Labour Secretary, Lori Chavez-DeReme, will oversee implementation and ensure Americans can access these new options without facing unnecessary barriers.
A New Financial Direction for the US
Both executive orders form part of a broader policy shift towards decentralisation, financial inclusion, and investment freedom. Ending debanking could restore access to financial services for groups who have long been marginalised, while opening retirement plans to crypto may accelerate mainstream adoption of digital assets.
Together, these actions signal a deliberate pivot towards a more open financial system, one where political views, business models, or emerging technologies are less likely to determine access to essential banking and investment services.
If successful, the orders could reshape how Americans save for retirement, interact with banks, and participate in the digital economy for years to come.
