US Labor Dept Proposes Crypto Inclusion in 401(k)s

The US Department of Labor has proposed a rule change to include crypto in 401(k) retirement plans, advancing President Donald Trump’s August executive order.

The proposal, titled “Fiduciary Duties in Selecting Designated Investment Alternatives,” defines digital assets as a new form of investing including cryptocurrencies like Bitcoin.

Labor Secretary Lori Chavez-DeRemer stated the rule will help plans reflect today’s investment landscape, benefiting American workers and retirees.

The move could unlock trillions in retirement capital for digital assets, legitimizing them as mainstream investments. It also aligns with SEC Chair Paul Atkins’ emphasis on long-term, innovation-driven investment access.

Wall Street firms suggest 1-4% crypto allocations in portfolios. Morgan Stanley recommends 2-4%, while BlackRock advises 1-2%.