Democrats oppose the Labor Department's proposal to introduce cryptocurrency into 401k plans

Odaily Planet Daily News: U.S. Congressional Democrats strongly oppose the Labor Department's proposal to allow 401k retirement plans to invest in cryptocurrency, private credit, and private equity assets, arguing that the rule would expose approximately $14.2 trillion in 401k retirement savings to high-risk and complex assets.

Senators Bernie Sanders, Elizabeth Warren, and Representative Bobby Scott stated in a joint letter that high-risk assets are highly volatile; for example, Trump's MEME token, which traded at over $75 per token in January 2025, has now fallen to $2. The letter also noted that the proposal could lead to higher fees for workers and undermine long-term returns. In response, the Trump administration stated that the new rule would provide workers with a more diverse range of investment options. (The Guardian)