Bitcoin: Numerous financial firms, including giants like Fidelity, are seeking to invest in Bitcoin and altcoins in their 401(k) retirement plans. US Treasury Secretary Janet Yellen issued a strong warning about this and asked Congress to intervene.
Bitcoin warning from the US Treasury Secretary
US Treasury Secretary Janet Yellen said that incorporating crypto assets into the retirement plans of average savers is a “very risky” choice and it would be reasonable for Congress to address this danger. Yellen said that cryptocurrencies have become a “very risky” choice for average savers as part of their retirement plans. Speaking at an event hosted by the New York Times on Thursday, June 9, Yellen said:
Not something I would recommend to most people saving for retirement. It is a very risky investment in my opinion.
Yellen said it would be reasonable for Congress to regulate what assets can be included in tax-advantaged retirement vehicles like 401(k) plans. Yellen’s response came when specifically asked about Fidelity Investments’ plan to provide crypto exposure to retirement plans. AmkNews.com As we reported, not only Yellen, but even the US Department of Labor objected to this. The U.S. Treasury Secretary also added that it would be better for Congress to regulate which assets are included in tax-advantaged retirement vehicles. Speaking about her view on the Congressional action, Yellen said, “I’m not saying I recommend it, but I think it would be a reasonable thing to do.”
Gemini’s retirement accounts hacked
Earlier in February this year, crypto exchange Gemini faced a major security breach that compromised $36 million in investor funds set in retirement accounts. The IRA Financial Trust, a platform that manages retirement and retirement accounts, recently sued Gemini, saying the crypto exchange is not taking adequate action to protect investors’ crypto assets. According to the press release, the following statements are included:
The lawsuit also alleges that Gemini did not freeze accounts in sufficient time immediately after the incident, and that criminals allowed criminals to continue moving funds from clients’ accounts on the Gemini exchange after the IRA had notified Gemini.
Although Gemini has denied the allegations, the question arises that greater action needs to be taken in this regard. Currently, Bitcoin is changing hands at $30,103, down 0.8 percent. The cryptocurrency, which is in the first place with a market value of 573 billion dollars, has lost 1.2 percent in the past 7 days.
Disclaimer: The articles and articles on AmkNews do not constitute investment advice. AmkNews.com does not recommend buying or selling any cryptocurrencies or digital assets, nor is AmkNews an investment advisor. For this reason, AmkNews and the authors of the articles on the site cannot be held responsible for your investment decisions. Readers should do their own research before taking any action regarding the company, asset or service in this article.
Warning: Citing the news content of AmkNews and quoting by giving a link is subject to the permission of AmkNews. No content on the site can be copied, reproduced or published on any platform without permission. Legal action will be taken against those who use the code, design, text, graphics and all other content of AmkNews in violation of intellectual property law and relevant legislation.