Bitcoin Hits $90K as Congress Says: "Let My 401(k) Crypto!"

Bitcoin fans are doing a happy dance. The House Financial Services Committee sent a strong letter to the SEC. It says, It's time to let Bitcoin and other digital assets into 401(k) plans. This follows President Trump’s August executive order. The order aimed to democratize access to alternative assets for retirement investors.

Bitcoin is trading at $90,304. It nudged up a bit after the news. The letter cites the Retirement Investment Choice Act (H.R. 5748). The bill would lock the order into law. Proponents say the rules are stuck in the Stone Age. They say millions are missing out on modern assets like crypto.

Not everyone wants a crypto retirement party. Critics, including the American Federation of Teachers, raise red flags. They point to extreme volatility and fiduciary risk. They argue Bitcoin is more akin to a rollercoaster ride than a stable retirement investment. Financial analysts echo these concerns. They note a lack of long‑term data and regulatory clarity. Even Warren Buffett has chimed in, calling Bitcoin more of a gambling token than a productive investment.

If the SEC gives the green light, it could provide legal cover for plan administrators and asset managers who have been hesitant to dip their toes into the crypto pool. This shift could change the conversation from 'Is it allowed?' to 'What’s the prudent allocation?' Expect asset managers to start rolling out institutionally‑packaged crypto products tailored for the defined‑contribution market, regardless of the SEC’s immediate response.

So, will your 401(k) soon be riding the Bitcoin wave? Stay tuned, because this regulatory drama is just getting started.