Plan sponsors offering bitcoin in-plan as part of a plan investment lineup would expose the plan, retirement plan committee, and plan participants to many risks, says Jerry Schlichter, managing partner at Schlichter Bogard & Denton, who is well known for suing plan sponsors for fiduciary breach.
I don’t handle plan sponsors big enough to get sued by Schlicter, but I respect his opinion, and I assure you, he is looking for larger plans that will offer it.
Until the Department of Labor says it’s OK, I would tell every plan sponsor I know that crypto and a 401(k) plan shouldn’t mix.
