According to a recent article published by The New York Times, mutual fund behemoth Fidelity Investments is on pace to allow users to add Bitcoin to their 401(k) savings plans.
Given that Fidelity is the country’s largest supplier of pension plans, the decision could be a watershed moment for cryptocurrency adoption in the United States. The Boston-based investing behemoth oversees more than 20 million people’s retirement funds.
According to Fidelity’s Dave Gray, plan sponsors are more interested in Bitcoin.
Later this year, Fidelity hopes to provide Bitcoin-holding 401(k)s. A fee of up to 0.9 percent will be charged.
It’s worth mentioning that savings programs are heavily regulated. So, Fidelity’s new initiative will almost certainly be scrutinized by regulators. The US Department of Labor issued a warning last month against introducing cryptocurrency into people’s 401(k) accounts.
Furthermore, the new product’s adoption will be largely determined by companies’ willingness to include Bitcoin in their employees’ retirement accounts.
MicroStrategy, a business analytics firm noted for being the largest corporate Bitcoin holder, has already committed to the ambitious objectives.
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