04.28.22
Labor Department Criticizes Fidelity’s Plan to Put Bitcoin on 401(k) Menu
by: Anne Tergesen
Officials at the U.S. Department of Labor (DOL) believe Fidelity Investments’ plan to allow investors to put bitcoin in their 401(k) accounts risks the retirement security of Americans, according to Ali Khawar, acting assistant secretary of the DOL's Employee Benefits Security Administration. In an interview, Khawar said, "There is “a lot of hype around ‘You have to get in now because you will be left behind otherwise.” He continued, "For the average American, the need for retirement savings in their old age is significant. We are not talking about millionaires and billionaires that have a ton of other assets to draw down.” Fidelity responded that bitcoin offering “represents the firm’s continued commitment to evolving and broadening its digital assets offerings amidst steadily growing demand for digital assets across investor segments, and we believe that this technology and digital assets will represent a large part of the financial industry’s future.”
Read the full article on Wall Street Journal