Bitwise CIO: 401(k) Crypto Allocation Will Fundamentally Change the Market, Resulting in Higher Returns and Lower Volatility
BlockBeats News, August 8th, according to the Investment Company Institute and the Federal Reserve, as of the first quarter of 2025, the total US retirement assets reached $43.4 trillion. Defined contribution plans (including $8.7 trillion in 401(k) plans) accounted for over $12 trillion.
Bitwise Chief Investment Officer Matt Hougan said that this change could potentially transform the cryptocurrency market by introducing a "slow, steady, consistent" retirement fund inflow. "The result is higher returns and lower volatility."
0G Labs Co-Founder and CEO Michael Heinrich cautioned that, "(this regulation) if done well, could unlock trillions of dollars of retirement money for Bitcoin and other compliant assets. If done poorly, it could trigger political and financial backlash. Details such as which tokens qualify, how custody is handled, and what safeguards will be put in place are crucial."
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