US Senator Introduces Bill Prohibiting Labor Department From Interfering With Crypto in Retirement Accounts

US Senator Introduces Bill Prohibiting Labor Department From Interfering With Crypto in Retirement Accounts

A U.S. senator has introduced a bill to prohibit the Labor Department from issuing a regulation or guidance that limits the type of investments investors can choose in their retirement plans, including cryptocurrency. “Today, the Biden administration is targeting cryptocurrency. Which investment class is next?” the lawmaker stressed. Financial Freedom Act

The issue of what investments Americans can put in their retirement accounts has become a hot topic in Washington. In March, the Department of Labor issued guidance warning employers and investment firms against allowing cryptocurrency investments in retirement plans.

Responding to the Labor Department’s crypto warning, U.S. Senator Tommy Tuberville (R-AL) introduced the Financial Freedom Act Thursday. The lawmaker described the bill as “legislation to prohibit the U.S. Department of Labor (DOL) from issuing a regulation or guidance that limits the type of investments that self-directed 401(k) account investors can choose through a brokerage window.”

Senator Tuberville explained, “Folks work for decades, live within their means, and invest wisely so they can retire comfortably,” elaborating: Now, the Biden administration has taken it upon itself to dictate what assets are viewed worthy of retirement investment, taking the decision away from individual investors by issuing regulatory guidance targeting cryptocurrency.

“This is government overreach at its finest. The government has no business standing in the way of retirement savers who want to make their own investment choices,” he emphasized. “When you’ve earned your paycheck, how you invest your money should be your decision. My legislation makes sure that is the case.”

Following the introduction of his bill, CNBC published an opinion piece authored by the senator. “Today, the Biden administration is targeting cryptocurrency. Which investment class is next?” he wrote, adding: Whether or not you believe in the long-term economic prospects of cryptocurrency, the choice of what you invest your retirement savings in should be yours — not that of the government.

Fidelity Investments, a major 401(k) plan administrator, also ignored the warning by the Labor Department. Shortly after the department’s warning, the company announced its plan to offer bitcoin investments in 401(k) accounts.

The financial services firm’s decision has prompted two U.S. senators, including Elizabeth Warren, to send a letter to its CEO demanding answers about why the company is ignoring the government’s crypto warning. Tags in this story Bitcoin, bitcoin 401(k), bitcoin investments 401(k), Crypto, Cryptocurrency, Fidelity Investments, Financial Freedom Act, Labor Department, Senator Tommy Tuberville

Do you think the Labor Department should be able to dictate what Americans can invest in their retirement accounts? Let us know in the comments section below. Kevin Helms

A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. US Court Fines Bitmex’s Founders $30 Million for Operating Illegal Crypto Platform REGULATION | 4 hours ago Spanish Securities Regulator Orders Binance to Stop Offering Cryptocurrency Derivatives REGULATION | 12 hours ago

Image Credits: Shutterstock, Pixabay, Wiki Commons Previous article3 Stablecoins Command Positions in the Crypto Economy’s Top 10, Another Fiat-Pegged Token Is Close to Joining Next articleUS Court Fines Bitmex’s Founders $30 Million for Operating Illegal Crypto Platform Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItBill ‘On Digital Currency’ Caps Crypto Investments for Russians, Opens Door for Payments

Russia’s recently revised bill “On Digital Currency” limits crypto purchases for non-qualified investors while providing legal ground for some cryptocurrency payments, according to local media. The draft law, proposed by the Russian finance ministry, also introduces strict requirements for platforms ... read more.Australia to List Bitcoin ETF After 4 Clearinghouse Participants Commit to Meet Stringent Margin Terms FBI Issues Alert Concerning Malicious State-Sponsored North Korean Hackers Targeting Crypto Firms Interest in Real Estate Investments in Spain Grew 400%, With Some Using Crypto and Stocks as Payment Method Iran to Increase Penalties for Unauthorized Cryptocurrency Mining