Bitcoin in 401(k)s: Volatility Debate Heats Up ⚖️🔋
Is Bitcoin too volatile for retirement accounts? Bitwise CIO Matt Hougan says that argument doesn’t hold up.
In a recent interview, Hougan called out major asset managers and regulators for opposing Bitcoin in 401(k) plans, noting that many approved stocks show greater price swings. He compared the past year:
· NVIDIA (NVDA): ~120% price fluctuation
· Bitcoin (BTC): ~65% price fluctuation
His comments come as U.S. Senator Elizabeth Warren presses the SEC on how it plans to address risks for retirement funds investing in crypto. She warns that volatility and higher fees could hurt retirement security for average Americans.
Background:
· Former President Trump’s 2022 executive order opened the door for crypto in defined-contribution plans.
· The Department of Labor has since taken a neutral stance, removing earlier guidance that discouraged the practice.
Why It Matters:
Inclusion in 401(k) plans is a major milestone for crypto—boosting legitimacy and opening the door for broader retail investor adoption via traditional retirement pathways.
Hougan believes it’s only a matter of time before crypto becomes a normalized option in retirement portfolios, similar to other alternative assets.
The question remains: Should long-term retirement portfolios have access to Bitcoin, or should regulators restrict exposure due to volatility concerns?
What’s your take? 👇
#Bitcoin #401k #Retirement #Crypto #BTC #Regulation #Investing #Volatility #BinanceSquareBTC $BTC
