Four Republican senators signed on to a bill to help stop the US Department of Labor from probing people “using brokerage windows to invest in cryptocurrency.”
Tommy Tuberville (Alabama Senator) reintroduced the bill that would enable United States 401 (k) retirement plans to feature crypto exposure.
Tuberville said in a February 15 announcement that the Financial Freedom Act aimed to reverse policy from the Department of Labor which directs the kind of investments allowed in 401 (k) plans, including digital assets and crypto. Tuberville first introduced the Financial Freedom Act to the United States Senate in May 2022.
The senator believes that this bill would stop the DOL from pursuing enforcement actions for people who use “brokerage windows to invest in cryptocurrency.” He stated:
“The federal government shouldn’t choose winners and losers in the investment game. My bill ensures that everyone who earns a paycheck has the financial freedom to invest in their futures however they see fit.”
Sen. Tuberville (R) plans to reintroduce the "Financial Freedoms Act"
It aims to stop the Dep of Labor from restricting individuals from investing their 401k's into crypto
"Every American should have the right to invest their retirement money how they see fit"$BTC up 8% today pic.twitter.com/e9saPsj5j6
— Nancy Pelosi Stock Tracker ♟ (@PelosiTracker_) February 15, 2023
Tuberville said that Senators Rick Scott, Cynthia Lummis, and Mike Braun had already signed on as cosponsors of this bill. In December 2022, Lummis said that she was “very comfortable” with having United States investors include Bitcoin in their investment accounts. At the time, she spoke after the crypto market crash and the unfortunate bankruptcies of major companies like Voyager Digital, FTX exchange, and Celsius Network.
On February 14, Politico reported that Florida Representative Byron Donalds wanted to introduce an equivalent bill in the House of Representatives on Feb. 17. Both Tuberville and Donalds are Republicans and might face severe opposition from across the aisle. Democratic Senator Elizabeth Warren has previously worried about Fidelity Investments’ aim to include Bitcoin in 401(k) accounts.
Buy Bitcoin NowThe DOL notice published in March 2022 warned all 401 (k) account holders to “exercise extreme care” when dealing with crypto investments, citing risks of theft, fraud, and loss of funds. The North American Securities Administrators Association, the US Securities and Exchange Commission’s Office of Investor Education and Advocacy, and the Financial Industry Regulatory Authority also published their notice on February 7. They warned that self-directed individual retirement accounts may consist of cryptos as possible risky investments.
