401(k) Plan Investments in "Cryptocurrencies"

This document is guidance issued by the U.S. Department of Labor's Employee Benefits Security Administration cautioning 401(k) plan fiduciaries about the significant risks of adding cryptocurrency investment options to their plans. The Department cites concerns about the speculative and volatile nature of cryptocurrencies, the challenges for plan participants to make informed investment decisions, custodial and recordkeeping issues, valuation concerns, and the evolving regulatory environment. The Department indicates it will undertake an investigative program to protect plan participants from these risks.