Crypto assets in 401(k) plans?

Some 401(k) plans now offer crypto assets as an investment option (e.g., a crypto asset fund). A GAO report found that while they make up a small part of 401(k)s (less than 1% of investments), they are “uniquely high volatility—a measure of their riskiness to participants—and their returns can come with considerable risk.” DOL guidance states that 401(k) fiduciary responsibility does not change when crypto assets are offered as investment options. ERISA requires fiduciaries to be prudent in selecting and monitoring their 401(k) plans’ core investment options, including any crypto asset investment options. #IdeaoftheDay