RIADeFi

Labor Department rescinds its special 'extreme care' cryptocurrency guidance

Regulation · · Ketju Research

U.S. Department of Labor, Employee Benefits Security AdministrationEffective

What changed

EBSA rescinded its 2022 cryptocurrency compliance release in full and returned to a neutral, context-specific application of ordinary ERISA fiduciary principles rather than a special 'extreme care' formulation.

Who it affects

  • ERISA plan fiduciaries and committees
  • Advisers and consultants serving retirement plans
  • Service providers offering digital-asset investment exposure to plans

What is still open

  • Whether a particular digital-asset option is prudent for a specific plan
  • Operational, valuation, custody, liquidity, cybersecurity, and participant-communication requirements
  • How future enforcement and guidance will apply ordinary fiduciary principles

What it means for an advisor

  • Update policies that quote the rescinded 2022 release as current DOL guidance
  • Retain a documented, context-specific ERISA prudence process
  • Do not present rescission as DOL endorsement of cryptocurrency in retirement plans

Previous interpretation

The 2022 release directed plan fiduciaries to exercise 'extreme care' before adding cryptocurrency to a 401(k) investment menu.

Sources

  1. Compliance Assistance Release No. 2025-01 · U.S. Department of Labor, Employee Benefits Security Administration · · effective

Version 1, published . Educational analysis, not legal advice.