US Congressman Introduces Bitcoin (BTC) 401(k) Investment Protection Act

Alabama State Senator has introduced new legislation that could potentially deter governments from restricting the top digital asset Bitcoin (BTC) and other cryptocurrencies as an investment option for a 401(k) retirement plan.

Republican Senator Tommy Tuberville announced the Financial Freedom Act of 2022, which will respond to the U.S. Department of Labor’s (DOL) attempts to exclude crypto assets as an option in its 401(k) plan.

The bill will ensure that financial institutions and employers will not face legal challenges for offering virtual assets as an investment vehicle. press release Tuberville, a former college football coach, said:

“that much [DOL’s] The directive prohibits 401(k) investors from investing in cryptocurrencies and undermines the ability of 401(k) plans to provide an intermediary window that gives retirement plan participants personal control over how they invest in their assets.

The directive threatened DOL investigations and enforcement actions if employers and investment firms allow individuals using intermediaries to invest in cryptocurrencies.

Senator Tuberville’s bill will give retirement savers the power to invest as they see fit, and will keep plan backers and financial institutions from penalizing those that allow investors to exercise their financial freedom.”

Another US Representative, Florida Representative Byron Donalds, recently introduction version of the bill in the House of Representatives.

“Today I introduced the House of Representatives companion to the Financial Freedom Act 2022. this bill [the DOL] It does not limit the types of investments that self-directed 401(k) account investors can choose from.”

DOL first issued a warning in March citing volatility, uncertain valuations and the evolving regulatory environment as major causes of concern for financial services firms’ exposure to digital assets of 401(k) participants.

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Disclaimer: Opinions expressed in the Daily Hodl are not investment advice. Investors should do their due diligence before making high-risk investments in Bitcoin, cryptocurrencies or digital assets. Your transfers and transactions are at your own risk and you are responsible for any losses you may incur. The Daily Hodl does not recommend buying or selling cryptocurrencies or digital assets, and The Daily Hodl is not an investment advisor. Daily Hodl is involved in affiliate marketing.

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