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Senator Introduces Financial Freedom Act to Allow Crypto in Pension Plans

Republican lawmakers believe the government shouldn’t limit the types of assets people can choose to save for their retirement.

In an op-ed for CNBC on May 5, Tuberville wrote:

“The federal government has nothing to do with restricting the ability of American workers to invest their 401(k) plan savings as they see fit.”

In March, the U.S. Department of Labor released regulatory guidance to ban 401(k) accounts from investing in crypto assets and singled out this specific asset class. A 401(k) is an employer-funded defined contribution plan.

Standing up for financial freedom

Previously, pension plan participants could use “match windows,” a tool used by savers to choose their retirement investments. “The agency’s new guidance ends that tradition of economic empowerment in favor of big brother government control,” Tuberville added.

The senator strongly believes that Americans should be able to invest in their retirement savings however they choose. The Financial Freedom Act will enable them to do just that when it passes Congress, where there is plenty Resistance against the crypto industry.

The bill would prohibit the Labor Department from limiting the types of investments US citizens can have in their retirement accounts. He repeated:

“Whether you think about the long-term economic prospects of the cryptocurrency Believe it or not, the choice of what to invest your retirement savings in should be yours, not the government.”

Senators like Tuberville and Cynthia Lummis are fighting to make crypto assets more accessible to Americans and stem the tide of tough regulations that incumbent political advocates appear to want to enforce.

Warren on the warpath

In a similar development, crypto’s most outspoken critic, Senator Elizabeth Warren, was once again on the warpath. This time, the Massachusetts policymaker has targeted investment giant Fidelity over its plans to include crypto as part of retirement packages.

In April, the country’s largest 401(k) annuity provider announced that it Bitcoin will include in its platform. Warren has been outraged by this, claiming that “Bitcoin’s volatility is exacerbated by its vulnerability to the whims of just a handful of influencers.”

She, along with Senator Tina Smith of Minnesota, sent a letter to Fidelity’s CEO this week asking what actions the company was taking to combat this volatility. It’s not the first time Warren has tried to legislate to suppress the sector.

However, as Tuberville stressed, it should be the decision of individuals, not a handful of high-ranking politicians bent on destroying the industry at large.

Featured image courtesy of CNN

Source: Crypto News Deutsch

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