Elizabeth Warren Echoes Labor Dept. Concerns About Fidelity’s Plan for Bitcoin in 401(k) Retirement Plans

In a joint letter with Senator Tina Smith (D-MN), Warren asked Fidelity “about the appropriateness” of its plans.

Echoing the the Labor Department’s concerns about bitcoin’s volatility, the two described investing in crypto as “a risky and speculative gamble.”

“We are concerned that Fidelity would take these risks with millions of Americans’ retirement savings,” they said.

They asked Fidelity to say how it assesses risks of volatility, fraud, theft and the evolving regulatory environment and how it plans to address them.

Warren’s has previously expressed skepticism about the crypto industry. In March, she introduced a bill to block cryptocurrency firms from conducting business with sanctioned companies. There is broad consensus in the blockchain industry that crypto is not used to work around sanctions.

She has also questioned mining firms over their energy usage and is a proponent of the U.S. developing a central bank digital currency (CBDC), seen by some as a challenge and means of restricting private cryptocurrencies and stablecoins.