Under the new rules, companies will be able to contribute their own shares to children’s Trump Accounts. And these contributions won’t have to go to a specific child. Instead, companies can direct them to a particular group of children — for example, based on age and place of residence.
And this is where things get especially interesting.
Parents won’t be able to choose which company’s shares their child receives. What’s more, shares received this way generally cannot be sold for five years.
Now imagine this scenario.
A company wants to build a massive data center in a particular county. It could contribute its own shares to the Trump Accounts of children living in that very area.
This creates an interesting dynamic: decisions made by local authorities, new taxes, or regulations that could affect the company’s stock price would also affect the value of assets owned by local children.
That doesn’t mean companies will necessarily use Trump Accounts this way. It’s simply one possible scenario that experts are now discussing.
But here’s the most interesting part: in its explanation of the new rules, the Treasury Department explicitly discusses the idea of giving families an economic stake in the success of the company whose shares they receive.
In other words, a Trump Account could become much more than just an investment account for a child.
It could potentially create an entirely new connection:
Company → Child Shareholder → Parents → Local Community
And I have a feeling this particular aspect of the new Trump Accounts will spark a lot more debate.
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
Manage your preferences for different types of cookies and tracking technologies.
Essential for site navigation, security, session handling, and member sign-in. Cannot be switched off.
Enables the website to remember information that changes how the site behaves or looks (e.g. language or region).
Helps us understand how visitors interact with courses and pages to measure performance and improve experience (e.g. Google Analytics).
Used to display relevant ads, track conversion effectiveness, and enable social media features (e.g. Meta Pixel, Google Ads).