Paul Atkins, the president of the American Securities and Exchange) commission, has shown the opening to the authorization of cryptocurrencies in retirement plans 401 (K) for the Americans, but underlined the need for responsible disclosure.
During an interview with Bloomberg published on Friday, Atkins did not exclude authorizing cryptocurrencies in plans 401 (K). However, he stressed that education on the risks associated with such an investment is crucial.
“The disclosure is essential and that people need to know what they get started,” said Atkins when he asked him questions about the potential inclusion of plans 401 (K). However, he added that he looked “impatiently from everything that could get out of the president”.
President Donald Trump would be ready to sign an executive decree which could allow retirement plans 401 (K) to invest in assets other than shares and obligations, such as cryptocurrencies. In April, the Alabama senator Tommy Tuberville said he reintroduced a bill he sponsored in May 2022 which would reduce regulations on the types of investments used in the trustee of the 401 (K) retirement plan.
A 401 (K) is a retirement plan sponsored by American employers who allow workers to postpone part of their salary in tax investment accounts, often with contributions of counterpart of employers.
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Crypto expectations in plans 401 (K)
Still in April, Fidelity, a financial service company with 5.9 billions of dollars of assets under management, presented retirement accounts that will allow Americans to invest in the almost free crypto. The three new accounts are a traditional Tax IRA and two Ira Roth (one of which is a roll) which will allow the inclusion of Bitcoin (BTC), ether (ETH) and Litecoin (LTC).
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At the end of May, the American Labor Department canceled the directives published during the administration of the former administration of President Joe Biden who limited the inclusion of the cryptocurrency in retirement plans 401 (K).
“We are backing up this excessive excess and clearly show that investment decisions should be made by trustees, not DC bureaucrats,” US secretary Lori Chavez-Deremer said.
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