The United States will provide $1,000 to newborns! “Trump’s account” specifies that it be processed via Robinhood and Bank of New York Mellon.

The U.S. Department of the Treasury has officially launched the Trump Accounts program, with assistance from BNY Mellon Bank of New York and Robinhood for implementation. The program is intended to accumulate long-term wealth for the next generation through capital markets.

The U.S. Department of the Treasury has released an official announcement to formally launch a major financial policy that is regarded as a “people’s capital experiment.” According to the Treasury’s statement, New York Mellon Bank (BNY) has been designated as the government’s financial agent, while Robinhood will serve as the broker and initial trustee for Trump Accounts. Both parties are responsible for supporting the rollout of the “Trump Accounts” program and the initial account management, symbolizing that the policy has officially entered the execution stage.

Trump Accounts is positioned as an investment account designed for U.S. citizens under the age of 18. Under the current plan, from 2025 to 2028, the government will provide an initial investment funding of $1,000 for each newborn and invest it directly into the market. After that, parents may additionally contribute up to $5,000 per year, and employers may also contribute an additional up to $2,500 for their employees’ children, with tax advantages. As a rule, the funds may not be used before age 18; after reaching adulthood, they can be converted into a long-term investment account to continue accumulating.

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Estimates related to the White House economic advisers indicate that, assuming an annualized return rate of about 10%, the $1,000 provided by the government alone could grow to approximately $5,800 after 18 years. If the family continues to invest the maximum each year, the asset size could have the potential to exceed $300,000 at age 18, and even reach the $1,000,000 level at age 28—becoming a core selling point in the policy promotion.

U.S. Treasury names BNY Mellon Bank and Robinhood to assist Trump Accounts

According to the details in the announcement, BNY will help manage the initial accounts and participate in developing a dedicated Trump Accounts App. The application is positioned as a “white-label” product, designed and operated under government leadership, emphasizing security and ease of use, so that families can conveniently look up and manage their account assets. The official statement says the overall system will remain under the Treasury’s control, including account operations and platform governance, to ensure that public funds operate under strict oversight.

Under the partnership structure, BNY has already established a partnership with Robinhood, which will serve as the broker and initial trustee (trustee) for Trump Accounts. In addition, the interface design will be jointly handled by National Design Studio and Robinhood, emphasizing the creation of an intuitive user experience so that families can enter the capital market with low barriers. The overall structure shows that this program is not a single government initiative, but rather a cross-industry collaboration combining banks, brokers, and design teams.

The Treasury also emphasized that this is based on its long-held statutory authority of “financial agents,” which allows it to designate qualified financial institutions to represent the government in providing financial services in a trustee capacity. The official statement said that all participating institutions must meet strict regulatory standards, performance requirements, and cybersecurity controls to ensure the safety of public funds and to safeguard the government’s interests.

The government provides $1,000 to each newborn; under the system, there can be a million dollars at age 28

In terms of policy design, Trump Accounts is positioned as an investment account designed for U.S. citizens under the age of 18. Under the current plan, from 2025 to 2028, the government will provide an initial investment funding of $1,000 for each newborn and invest it directly into the market. After that, parents may additionally contribute up to $5,000 per year, and employers may also contribute an additional up to $2,500 for their employees’ children, with tax advantages.

Regarding investment targets, the policy includes clear restrictions: the funds must be invested in low-cost index funds or ETFs that track the U.S. stock market benchmark, and it requires that the management fees may not exceed 0.1%, to ensure that the long-term compounding effects are not eroded by fees. This design is seen as directly linking the assets of the public to the growth of the U.S. economy, achieving long-term wealth accumulation through capital markets.

The account mechanism is similar to an individual retirement account (IRA). As a rule, the funds may not be used before age 18; after reaching adulthood, they can be converted into a long-term investment account to continue accumulating. If withdrawals are made early, there may be restrictions or penalties, but exceptions may apply for uses such as education expenses and a first home purchase.

Estimates related to the White House economic advisers indicate that, assuming an annualized return rate of about 10%, the $1,000 provided by the government alone could grow to approximately $5,800 after 18 years. If the family continues to invest the maximum each year, the asset size could have the potential to exceed $300,000 at age 18, and even reach the $1,000,000 level at age 28—becoming a core selling point in the policy promotion.

• This article is reprinted with authorization from: 《Chain News》
• Original title: 《The government provides $1,000 to newborns! “Trump Accounts” designated for handling by Robinhood and BNY Mellon Bank》
• Original author: Neo