Labor Department withdraws guidance on crypto in 401(k)

The U.S. Department of Labor released a statement announcing its withdrawal from the Compliance Assistance Release No. 2022-01 (the 2022 release) regarding 401(k) plan investments in cryptocurrencies.

The Department stated: “Prior to the 2022 release, the Department had usually articulated a neutral approach to particular investment types and strategies. 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.”

See the full release here.