SEC Chair Says Time Is Right to Open $12.5T 401(k) Market to Crypto

SEC Chair Paul Atkins says the time is right to open the 401(k) market to crypto, arguing that the U.S. retirement system is ready for carefully managed crypto exposure.

He shared this view during a joint CNBC Squawk Box interview with CFTC Chair Mike Seligh ahead of their upcoming crypto event in Washington. His remarks signal a potential shift in retirement policy, with the SEC open to allowing crypto integration into regulated retirement frameworks. 

Key Points 

• SEC Chair Paul Atkins says the U.S. retirement system is ready for carefully managed crypto exposure. 
• Atkins confirms many American retirees already have access to cryptocurrencies through their professionally managed 401(k) accounts. 
• The move aligns with recent government actions in the United States. 
• Atkins also reaffirmed the SEC’s support for the Market Clarity Act and its collaboration with the CFTC to balance innovation with investor protection. 

Time Is Right to Expand Retirees’ Access to Crypto 

During the discussion, Atkins said many Americans already have indirect crypto exposure through pension funds and professionally managed retirement funds that include alternative investments. Moreover, he argued that crypto is not entirely foreign to retirement portfolios.

In the meantime, he stressed that the SEC is not promoting speculative investing. Instead, the agency aims to expand access in a controlled manner, similar to how it oversees private securities and equity funds.

Accordingly, he said crypto exposure should come through professionally managed 401(k) options rather than individual asset selection. This approach, he added, could support innovation while preserving safeguards to protect retirees’ long-term financial security. 

SEC Chair @SECPaulSAtkins & CFTC Chair @MichaelSelig discuss the agencies’ collaboration on cryptocurrencies:https://t.co/TAZSOcj4HS

— Squawk Box (@SquawkCNBC) January 29, 2026

Opening $12.5T 401(k) Market to Crypto 

If adopted, this approach could open the $12.5 trillion 401(k) market to crypto through regulated, professionally managed products. It would mark a major policy shift, bringing digital assets closer to mainstream retirement portfolios while emphasizing risk controls and fiduciary responsibility. 

Notably, Atkins’ remarks align with broader U.S. efforts to expand retirees’ access to crypto. Over recent months, policymakers and the presidency have taken concrete steps in that direction. 

In May 2025, the U.S. Department of Labor reversed its 2022 guidance that discouraged crypto in 401(k) plans, clearing the way for digital assets like Bitcoin to enter retirement portfolios. Additionally, President Trump, in an executive order in August 2025, permitted crypto exposure in retirement funds.

Soon after, a group of U.S. lawmakers wrote to Atkins, urging him to establish a regulatory framework that would allow American workers gain indirect crypto exposure through their 401(k) accounts. Now, in his latest interview, Atkins has confirmed that the time has come to open the 401(k) market to crypto through professionally managed funds with appropriate safeguards.

SEC to Continue Support for Clarity Act 

Meanwhile, Atkins also addressed the Market Clarity Act. Although the markup has stalled after several leading crypto firms withdrew support, he stressed that the SEC has provided key technical input to the Senate and will continue backing the bill to push it toward the finish line.

In addition, he strongly supported working closely with the CFTC, aiming to encourage innovation while maintaining robust investor protections.