Bloomberg Law
April 26, 2022, 11:56 AM

Fidelity Investments Unveils a Crypto Option for 401(k) Plans

Suzanne Woolley
Suzanne Woolley
Bloomberg News

Fidelity Investments wants to bring crypto to its workplace retirement plans.

The firm announced Tuesday it will have a product ready in coming months to allow 401(k) plan participants to direct a portion of their savings into bitcoin. Employers that decide to offer the option will choose what percentage of an employee’s account can be directed into crypto, up to a cap of 20%.

The workplace Digital Asset Accounts will be integrated into Fidelity’s online 401(k) platform, NetBenefits, with bitcoin held at Fidelity so that it has “institutional grade” security, the company said. While it’s starting with bitcoin, Fidelity’s program is structured so it can be used with other cryptocurrencies, according to David Gray, the firm’s head ...