In what is a landmark development for the country, the US Labor Department has officially rescinded guidance warning against the inclusion of Bitcoin and other cryptocurrencies in 401(k) plans. Indeed, the agency officially released the amendment that would retract the 2022 compliance release.
According to a news release from the department, they have sought to scale back the “overreach” of the previous administration. Specifically, this means that the investment decision would be entirely at the discretion of the fiduciaries. Moreover, the department will no longer require “extreme care” to orchestrate crypto investment options in a retirement plan.
JUST IN: 🇺🇸 US Labor Department rescinds 2022 guidance that warned fiduciaries against including crypto in 401(k) plans.
— Watcher.Guru (@WatcherGuru) May 28, 2025
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US Labor Department Rescinds 2022 Guidance Against Crypto Investments in a 401(k)
The return of US President Donald Trump to the White House has brought forth the first true pro-crypto administration in history. That has seen the asset class flourish unlike ever before. Just weeks ago, Coinbase CEO Brian Armstrong noted that the progression of the industry will see crypto soon involved in every person’s 401(k) plan.
That has officially taken a major step closer to being realized. Indeed, the US Department of Labor has officially rescinded guidance against including Bitcoin and other cryptocurrency investments into 401(k) plans. Specifically, the new administration has revoked its warning to fiduciaries regarding the emerging asset class.
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“The Biden Administration’s Department of Labor made a choice to put their thumb on the scale,” US Secretary of Labor Lori Chavez-DeRemer said in a press release. “We’re rolling back this overreach and making it clear that investment decisions should be made by fiduciaries, not DC bureaucrats.”
The department has now adopted a “neutral stance, neither endorsing nor disapproving of” the inclusion of cryptocurrencies. Conversely, the value increase Bitcoin has enjoyed in 2025 has made it a solid investment option. Reaching a new all-time high of $111,000, it has shown its value and growth potential amid what has been a highly volatile year.