Bitcoin and XRP could potentially be included in 401(k) plans
Bitcoin and XRP could potentially be included in 401(k) plans originally appeared on TheStreet.
The U.S. Department of Labor has withdrawn its 2022 guidance that warned fiduciaries against including cryptocurrency in 401(k) retirement savings plans, the Department's Employee Benefits Security Administration announced on May 28.
The 2022 guidance urged fiduciaries to exercise 'extreme care' while they consider adding a crypto option to a 401(k) retirement plan for participants.
The Employee Retirement Income Security Act (ERISA) doesn't mention the 'extreme care' standard, so the 2022 directive marked a departure from ordinary fiduciary principles, the Labor Department noted.
Jackson Chainwright, a pseudonymous crypto strategist and Substack author, said the move could quietly mark a turning point for crypto in retirement planning.
'This won't make headlines like an ETF approval, but it opens the backdoor. Fiduciaries now have less reason to avoid crypto, and that's going to matter when the next bull cycle makes Bitcoin and XRP too big to ignore.'
Prior to 2022, the Labor Department usually articulated a "neutral approach" to particular investment types and strategies. The latest withdrawal of the 2022 guidance makes a return to the department's historically principled approach — neither endorsing nor disapproving of any fiduciaries planning to include crypto assets in a 401(k) plan.
ERISA nonetheless requires a fiduciary to curate a plan's investment menu to maximize risk-adjusted financial returns to the plan's participants and beneficiaries.
'The Biden administration's department of labor made a choice to put their thumb on the scale,' Labor Secretary Lori Chavez-DeRemer said in a statement. 'We're rolling back this overreach and making it clear that investment decisions should be made by fiduciaries, not DC bureaucrats.'
Earlier, the department asked fiduciaries to be cautious while considering crypto for 401(k) plans because of an array of reasons, such as the Securities and Exchange Commission (SEC) identifying crypto as "speculative and volatile investments," plan participants finding it difficult to make informed investment decisions, custody concerns, crypto valuations, regulatory concerns, etc.
Matt Hougan, CIO at Bitwise, pointed out that the $9 trillion sitting in U.S. 401(k) accounts currently has near-zero crypto exposure.
'That will change,' he wrote on X, hinting at a coming shift in retirement investing.
Bitcoin and XRP could potentially be included in 401(k) plans first appeared on TheStreet on May 29, 2025
This story was originally reported by TheStreet on May 29, 2025, where it first appeared.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Asia Morning Briefing: BTC Stalls at 105K as Analyst Says Market Looks 'Overheated'
Welcome to Asia Morning Briefing, a daily summary of top stories during U.S. hours and an overview of market moves and analysis. For a detailed overview of U.S. markets, see CoinDesk's Crypto Daybook Americas. Bitcoin BTC is trading above $105K as Asia begins its business week. The world's largest digital asset remained relatively stable over the weekend, with a 0.4% movement, and trading volume was compressed. While overall market conditions remain bullish, a new report from CryptoQuant suggests that certain metrics indicate the BTC market is 'overheating.' The report shows bitcoin demand has climbed to 229,000 BTC over the past 30 days, approaching the December 2024 peak of 279,000 BTC. At the same time, whale-held balances have risen by 2.8 percent, a pace that often signals slowing accumulation. These indicators suggest the current rally, which pushed prices to a record $112,000, may be nearing a short-term top. The report highlights $120,000 as the next major resistance level, tied to the upper band of the Traders' On-chain Realized Price, where unrealized profits would hit 40 percent, a threshold that has historically marked local tops. While CryptoQuant's "Bull Score Index" remains strong at 80, signaling continued bullish momentum, rising profit margins, and peaking demand growth suggest traders may face a period of consolidation before the next leg higher. James Wynn Gets Liquidated, But Says He'll 'Run it All Back' James Wynn, a trader renowned for his aggressive, high-leverage bets on Hyperliquid, has been fully liquidated, leaving him with just $23 in his account after sustaining losses totaling more than $17 million, CoinDesk previously reported. Wynn, who attracted significant attention with trades involving bitcoin, memecoins like PEPE, and even obscure tokens such as FARTCOIN, first faced steep declines from a massive $1.25 billion long position on BTC, resulting in a loss exceeding $37 million after prices dipped below $105,000 amid geopolitical turmoil. Throughout the volatile month, Wynn rapidly cycled through trades, briefly netting an unrealized gain of $85 million before market swings wiped him out completely. An account associated with Wynn downplayed the dramatic liquidation, defiantly stating on X: "I'll run it back, I always do. And I'll enjoy doing it. I like playing the game. I took a large and calculated bet at making billions." Brazil's Méliuz Shares Sink 8% After Announcing $78M Equity Raise to Buy Bitcoin Brazilian fintech Méliuz plans to raise up to $78 million through a public equity offering, intending to allocate all proceeds to purchasing Bitcoin and positioning the cryptocurrency as a primary strategic asset in its treasury, CoinDesk previously reported. However, Méliuz's strategy hasn't impressed the market yet, as shares dropped more than 8% following the announcement. The initial offering includes 17 million common shares, with the potential to expand up to 51 million, and investors will receive subscription warrants allowing future stock purchases at set prices. Known for its cashback and financial services platform serving over 30 million users, Méliuz currently holds 320.2 BTC, having previously committed 10% of its cash reserves to Bitcoin in March. Trading for the subscription warrants is expected to commence on June 16, with share settlement and warrant issuance finalized by June 18. NYC Comptroller Rejects Mayor Adams' 'BitBond', Warns Deviating from Dollar Could Undermine City's Credit Reputation New York City's Comptroller Brad Lander sharply criticized Mayor Eric Adams' plan to issue municipal bonds backed by bitcoin, labeling the proposed "BitBond" as "legally dubious and fiscally irresponsible," CoinDesk previously reported. Lander rejected the idea just days after Adams introduced it at a bitcoin conference in Las Vegas, emphasizing that cryptocurrency's instability makes it unsuitable to reliably fund critical city projects such as infrastructure and affordable housing. Mayor Adams has actively promoted cryptocurrency initiatives since entering office, including converting his own paychecks into digital assets and establishing a digital asset advisory council. However, Comptroller Lander highlighted serious practical concerns with the BitBond proposal, noting federal tax laws and city financial regulations would make the proposal unworkable, and warned that deviating from the dollar-based municipal borrowing system could undermine investor confidence and New York City's credit reputation. BTC: Bitcoin showed resilience, staging a V-shaped recovery between $103,813.37 and $105,305.75 amid notable volume spikes. ETH: Ethereum formed a bullish reversal pattern, rebounding from strong support at $2,472.84 to $2,527.53 amid high-volume buying momentum, according to CoinDesk's Market Insight Bot. Gold: Gold climbed 0.6% to $3,311.66, as traders weighed its recent retreat from record highs against ongoing investor and central bank appetite driven by uncertainty over US tariffs and broader economic risks. Nikkei 225: Japan's Nikkei 225 dropped 0.89% as Asia-Pacific markets traded mixed following Trump's announcement of increased steel tariffs. S&P 500 Futures: Stock futures dipped Sunday to start June after the S&P 500's strongest month since November 2023, amid uncertainty over President Trump's tariffs following recent contradictory court rulings. Wintermute warns Pectra upgrade leaves Ethereum users at risk of automated attacks (The Block) Here's What's at Stake for Crypto in South Korea's Upcoming Election (Decrypt) JPMorgan's Jamie Dimon Says U.S. Should Stockpile Missiles, Not Bitcoin (CoinDesk) IMF Raised Concerns Over Pakistan's Plan to Allocate 2,000MW of Electricity for Bitcoin Mining (Local Report) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Yahoo
Elon Musk just dropped 'Bitcoin-style' XChat, and the community is losing it
Elon Musk just dropped 'Bitcoin-style' XChat, and the community is losing it originally appeared on TheStreet. Elon Musk is doubling down on privacy. In his latest update for X (formerly Twitter), the billionaire CEO announced XChat — a new encrypted messaging feature that will support audio/video calls, vanishing messages, and all-file sharing. 'The all new XChat is rolling out with encryption, vanishing messages, and the ability to send any kind of file. Also, audio/video calling,' Musk posted on X. He added that the system is built on a 'whole new architecture' with 'Bitcoin-style encryption' — hinting at a more decentralized, cryptographically secure infrastructure, though no technical details were provided. The move is part of Musk's broader effort to transform X into a privacy-forward 'everything app.' While Musk didn't elaborate on what 'Bitcoin-style encryption' actually means, the phrase has sent crypto communities into full meltdown mode. 'Bro, if this is even half as secure as Bitcoin wallets, we're about to see Telegram get wrecked,' wrote one user on the CryptoLeaks Discord. "XChat + no phone number + vanishing mode?? Elon just gave OPSEC its biggest W,' said another in a Solana DEX server. A third user posted, 'You're telling me I can now send airdrop links, memes, and seed phrases without getting doxxed? God bless this man.' While announcing a separate payments feature X Money last week, which will launch in beta later this year — Musk emphasized the platform's cautious approach: 'This will be a very limited access beta at first. When people's saving are involved, extreme care must be taken.' The new wave of tools seems to suggest X wants to rival apps like Signal, Telegram, and even China's WeChat — combining finance, messaging, and social media under one encrypted roof. Elon Musk just dropped 'Bitcoin-style' XChat, and the community is losing it first appeared on TheStreet on Jun 1, 2025 This story was originally reported by TheStreet on Jun 1, 2025, where it first appeared. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Axios
3 hours ago
- Axios
Exclusive: HHS watchdog finds more than $16B in health savings
The Department of Health and Human Services' watchdog identified more than $16 billion in overpayments, fraudulent billings and possible cost savings in health programs over a half year spanning the Biden and Trump administrations, including more than $3.5 billion to be returned to the government. Why it matters: The semiannual summary, first shared publicly to Axios, comes as the Trump administration says it's prioritizing government efficiency and rooting out waste, fraud and abuse. It reflects growing concern over federal payments to Medicare Advantage plans, along with enforcement actions like McKinsey agreeing to pay $650 million to settle charges that its advice caused Purdue Pharma to submit fraudulent claims stemming from the opioid crisis. The report was sent to Congress late Friday. By the numbers: The HHS Office of Inspector General identified $16.6 billion in real and potential savings from October 2024 through March of this year. The office's investigations identified $3.5 billion in funds due back to the federal government, and its audits found another $451 million that the government will recoup. More than $12 billion in potential cost savings were identified if HHS makes recommended policy changes. The office issued 165 recommendations over the six months. In one example, OIG found that Medicare could have saved $7.7 billion if it lowered payments for swing beds at critical access hospitals so that they match skilled nursing facilities. The change would require action from Congress, and the Centers for Medicare and Medicaid Services said it didn't agree with the recommendation. Nearly 400 civil actions, including settlements, resulted from OIG's work during the period. OIG says its work returned $11 to the federal government for each $1 invested in its office. "Whether it's us, whether it's [the Government Accountability Office], whether it's DOGE, whether it's state auditors, there's always a need for program integrity and oversight," said John Hagg, assistant inspector general in the IG's office of audit services. Zoom in: OIG over the six months covered in the report continued its investigations that raise concerns over improper payments in Medicare Advantage. OIG found that many patient diagnoses reported by privately run Medicare plans were supported only through health risk assessments. That allowed plans to be paid more to care for sicker, more expensive patients without enough supporting documentation, raising questions about their validity, per OIG. OIG recommended that Medicare further restrict plans' abilities to get higher payments based on diagnoses reported only on in-home health risk assessments in order to save an estimated $4.2 billion for Medicare. The office plans to do more work on Medicare Advantage in the near future, Melicia Seay, assistant inspector general in the office of evaluation and inspection, told Axios. "There's a lot of areas in terms of Medicare Advantage that we're exploring, whether it is the payment policy related to the program, the service delivery, quality of care," she said. Catch up quick: President Trump in January abruptly fired several agency inspectors general, including longtime HHS watchdog Christi Grimm. He claimed that"some were not doing their job."
