Elizabeth Warren warns crypto risks could cost workers 'big' in their 401(k)s. How to be safe if you decide to invest

Core Viewpoint - U.S. Senator Elizabeth Warren raises concerns about the volatility of cryptocurrencies and their potential impact on retirement accounts, particularly in light of recent executive orders allowing 401(k) plans to include alternative assets like crypto [1][2]. Group 1: Concerns About Cryptocurrency in Retirement Accounts - Warren emphasizes that for most Americans, 401(k) plans are crucial for retirement security, and introducing cryptocurrencies could lead to significant financial losses for workers and families [2][3]. - The value of Bitcoin experienced a dramatic rise to over $126,000 in October 2025 but subsequently fell to around $90,000 by the time Warren wrote her letter, and further declined to approximately $70,000 by February 8 [2]. Group 2: Debate on Inclusion of Cryptocurrencies - The discussion surrounding the inclusion of cryptocurrencies in retirement plans is polarized, with proponents highlighting their profit potential and diversification benefits, while critics warn that such investments could worsen the retirement crisis [3]. - Experts acknowledge the inherent risks associated with the volatility of cryptocurrencies, which raises concerns about their suitability for retirement portfolios [5][6].