Updated 401(k) US Retirement Plan Now Includes Crypto Assets Too
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As inflation is at its peak, US netizens are concerned about a stable financial future. To tackle this, U.S. lawmakers finally introduced the Retirement Savings Modernization Act, introduced by Senators Pat Toomey (R-PA) and Tim Scott (R-SC) and Representative Peter Meijer (R-MI), which intends to provide 401(k) retirement savers access to various investments that will now include crypto assets too.
The bill will allow workers to diversify those assets which are included in defined contribution plans like 401(k) plans.
However, a warning was issued by the U.S. Department of Labor (DOL) about crypto investments in 401(k) plans. The department was concerned about the decision to include crypto to direct investments or other products whose value is tied to cryptocurrencies, as crypto investments are at high risk of forgery and fraud. Despite the warning, a major 401(k) plan administrator announced that Bitcoin would be included as an investment option in the new 401(k) products.