The Department of Labor has rescinded guidance that discouraged retirement plans from offering cryptocurrencies in member portfolios.
Why it matters: It rolls back another guidance from the Biden era, following, for example, banking regulators walking back guidances that discouraged banks from engaging in digital-asset business.
What they're saying: "Today's release restores the Department's historical approach by neither endorsing, nor disapproving of, plan fiduciaries who conclude that the inclusion of cryptocurrency in a plan's investment menu is appropriate," the update explains.
Catch up fast: The department issued guidance back in 2022 saying fiduciaries must exercise "extreme care" when offering such assets.
Notably, Fidelity announced shortly after that it would offer bitcoin in 401(k) plans anyway. Fidelity then offered a critique of the guidance.
