Retirement
Congress has urged the SEC to revise rules so Bitcoin and other cryptocurrencies can be offered as investment options in 401(k) retirement plans, arguing savers should have access to long-term crypto exposure. The request sets up a regulatory review with potential implications for custody, fiduciary duties, and new retirement products.
The American Federation of Teachers told the Senate Banking Committee the crypto market structure bill poses “profound risks” to retirement plans, a letter obtained by CNBC says. The union urged lawmakers to reconsider provisions that could expose pensions to crypto volatility.
President Trump’s recent executive order may open the door for private equity and cryptocurrency investments in 401(k) retirement plans, potentially transforming how Americans save for retirement with higher-risk, higher-reward assets. This shift could diversify portfolios but also brings new challenges for investors and providers alike.