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On August 8th, Peter Schiff took to X to blast a plan that would let private equity, real estate, crypto, and other nontraditional investments enter 401(k) accounts. He warned it could worsen retirement shortfalls for many Americans.
The comment came as the White House prepared an executive order to be signed yesterday, on August 7th. That order asks the Labour Department to reopen guidance under ERISA and to clarify plan sponsors’ duties.
The move aims to tap about $12.5 trillion in retirement savings by easing rules on alternative allocations.
Schiff’s core warning
“Most Americans have saved far less than needed to have any hope of retirement,” Schiff wrote. He said letting people put their 401(k) money into Bitcoin and other crypto is like giving them a risky bet with their nest egg.
He argued that the change does not help savers. Instead, he said it increases the chance they will lose the little they have saved.
The executive order and what it asks
The order directs the Labour Department to review past guidance on alternative assets. It also asks for clearer rules on what plan sponsors must do to meet fiduciary duties.
Officials want to make it easier for 401(k) plans to include assets such as private equity and cryptocurrency. Proponents say this could open new options for investors. Critics fear it could expose many people to higher risk.
Schiff on stablecoins and the dollar
Schiff also attacked dollar-pegged stablecoins and called them “flawed” tokens tied to a currency that steadily loses value.
He said it makes no sense to rely on tokens pegged to a dollar he sees as weakening. His view is that stablecoins simply pass along the dollar’s decline rather than protect savers.
A surprising twist on Bitcoin
Despite his long record of warning against Bitcoin, Schiff claimed he helped expand Bitcoin ownership. He posted that he is “probably responsible” for more people owning Bitcoin than anyone else.
He said many attendees at Bitcoin 2025 told him they bought their first coins after reading or hearing his criticism. He sees that as an ironic result of his public stance.
Reactions and the debate ahead
Schiff’s posts add to a fierce debate, as supporters of the change argue it broadens choices for savers and could boost returns for some. Opponents say most 401(k) investors lack the time and skills to handle higher-risk options.
They worry that plan sponsors may face pressure to add alternatives that are hard to value or sell. The Labour Department will have to weigh how to protect retirement savers while allowing new options.
What plan sponsors will face?
If the guidance is loosened, plan managers will need solid rules. They will have to document why a new asset is suitable.
They will also have to show how they will monitor value and liquidity. Fiduciary duty rules are meant to protect workers. Any change will focus on whether sponsors can meet those duties when adding alternatives.
Also Read: Big-Time Gold Advocate Peter Schiff Seeks Public Donations To Grow His BTC Reserve