SEC's Atkins says U.S. government shutdown hinders SEC's 401(k) investment rule changes

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U.S. regulators are exploring ways to give retirement plans and accredited investors access to alternative investments such as cryptocurrencies.
The government shutdown has slowed progress.

SEC Chairman Paul Atkins said in an interview with CNBC on Friday that the ongoing U.S. government shutdown has delayed the SEC’s rulemaking process, including proposed changes to 401(k) investment regulations that would expand access to private credit and alternative assets such as virtual currencies.

SEC Chairman Paul Atkins noted that companies are proceeding to go public despite the government shutdown. The federal gridlock has also delayed the approval of some financial products, such as spot ETFs for digital assets.

The closure represents a work stoppage that impacts federal agencies and financial regulatory processes, creating uncertainty about the timeline for implementing new retirement investment options.