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Yellen Says Crypto Is ‘Very Risky’ Option for Retirement Savers

June 9, 2022, 9:24 PM

US Treasury Secretary Janet Yellen said that crytocurrency assets are a “very risky” choice to include in the retirement plans of average savers, and that it would be reasonable for Congress to address the danger.

“It’s not something that I would recommend to most people who are saving for their retirement,” Yellen said Thursday in Washington at an event organized by the New York Times. “To me it’s very risky investment.”

Yellen was responding to a question about an announcement from Boston-based Fidelity Investments in April that it would add a crypto option to workplace retirement plans it manages. The Labor Department has signaled its opposition.

Yellen said it would be reasonable for Congress to regulate what assets could be included in tax-favored retirement vehicles, like 401(k) plans.

“I’m not saying I recommend it, but that to my mind would be a reasonable thing,” she said of congressional action.

Read More: 401(k) Provider Sues Labor Department Over Anti-Crypto Guidance

To contact the reporter on this story:
Christopher Condon in Washington at ccondon4@bloomberg.net

To contact the editors responsible for this story:
Scott Lanman at slanman@bloomberg.net

Christopher Anstey, Robert Jameson

© 2022 Bloomberg L.P. All rights reserved. Used with permission.