Trump Signs Debanking, Crypto 401(k) Executive Orders 

President Trump signed executive orders aimed at stopping banks from withdrawing services from customers for their political or religious beliefs, and another that seeks to allow 401(k) holders to invest in alternative assets such as cryptocurrencies and private equity.

The orders, signed Thursday, directs regulators to remove references to “reputational risk” and similar concepts from their guidance and examination materials. It also directs the Small Business Administration to make sure banks and other financial firms make reasonable efforts to reinstate customers who were denied services due to “unlawful debanking.”

Trump’s family business has sued Capital One for closing its accounts following the January 6 attack on the capital, and Trump this week said JPMorgan and Bank of America refused his business after his first term as President ended. The cryptocurrency industry had complained about regulators enforcing a wide-scale “debanking” of companies and crypto consumers, particularly after the implosion of FTX and several related bank insolvencies.

Private equity firms and other financial institutions have long wanted to tap the vast pool of individual retirement accounts to sell their products. Critics say most investors don’t understand the risks of these products. They argue the products have high fees and that investors would be better off with simpler, lower-cost offerings.