US Labor Department Eyes 401(k) Crypto Access, Bitcoin Considered In New Rule

The US Labor Department published a proposed regulation on Monday intended to give 401(k) participants access to alternative investments, including crypto assets such as Bitcoin (BTC). The Employee Benefits Security Administration (EBSA) framed the rule as “historic,” saying it lays out a clear, process-driven framework that plan fiduciaries can follow when evaluating non-traditional assets for defined contribution plans. Safe‑Harbor Rules For 401(k) Considering Crypto At the heart of the proposal are safe-harbor procedures designed to guide plan managers through the selection of designated investment alternatives. Under the rule, fiduciaries would be required to evaluate potential alternatives, addressing factors such as expected performance, fees, liquidity, valuation methods, appropriate performance benchmarks, and the complexity of the crypto assets. The department emphasized that the rule is intentionally neutral with respect to asset classes: it does not endorse any particular ty