On May 28, 2025, the US Department of Labor (DOL) officially rescinded a 2022 compliance release that had discouraged fiduciaries from offering crypto investment options in 401(k) retirement plans.
The 2022 release, “Compliance Assistance Release No. 2022 – 01”, had directed fiduciaries to exercise “extreme care” before including digital assets in retirement plan investment menus. It flagged crypto’s volatility, custodial complexities, and regulatory uncertainty as reasons for caution. However, the DOL stated that this “extreme care” standard had no statutory basis and deviated from the department’s prior principles – based approach.
By rescinding the 2022 release, the DOL is reverting to a neutral stance that adheres to the Employee Retirement Income Security Act (ERISA). The department emphasizes that it is not endorsing or disapproving of crypto as retirement plan assets, but rather making it clear that investment discretion belongs to fiduciaries under ERISA. Fiduciaries must still comply with statutory obligations to act in the best interest of plan participants, but the determination should follow a consistent evaluative framework rather than asset – specific cautionary directives. This allows retirement plan administrators to assess crypto investment options on a case – by – case basis in line with existing legal obligations.
Related topic:
