Sponsor
Richard Joseph Durbin
Senator · D-IL
Senator · D-IL
The bill reduces crypto-related risk to federal retirement funds and gives managers clearer rules, at the cost of potentially lower returns, transaction costs, and a narrower investment universe with higher compliance burdens.
Seniors and taxpayers: reduces Trust Funds' exposure to volatile digital-asset investments, helping protect retirement payments and preserve long-term solvency.
Federal employees, Trust Fund managers, and financial institutions: provides clearer prohibitions on crypto asset classes for Treasury and Trust Fund managers, reducing legal uncertainty when making investment decisions.
Seniors and taxpayers: bars Trust Funds from some crypto-related investments that might have offered diversification or higher returns, potentially lowering portfolio performance over time.
Financial institutions and small business owners: may force Treasury to divest existing holdings or avoid investing in firms with substantial crypto revenue, creating transaction costs and possible market disruption.
Financial institutions: broad or vague definitions of prohibited crypto exposure could unintentionally exclude companies with limited crypto activity and increase administrative compliance burdens.
Based on analysis of 4 sections of legislative text.
Bars Social Security trust funds from investing in digital assets or any crypto-related investments, defined broadly to capture funds, companies, and assets tied to digital assets.
Prohibits the Social Security trust funds from investing in any digital asset or crypto-related investment. The bill adds a definition of “crypto-related investment” that covers funds tied to digital-asset futures or indexes, public companies whose value or revenue depends substantially on digital assets or related services, and any asset whose value is tied to digital assets.
Official title: Amend the Social Security Act to prohibit the Social Security Trust Funds from investing in cryptocurrency.
Introduced March 12, 2026 by Richard Joseph Durbin · Last progress March 12, 2026