Dave Gray, head of workplace retirement offerings at Fidelity, said Tuesday that the company expects blockchain technology — the foundation for cryptocurrency — to play an important role in financial services.
Although it’s considered highly unstable by most financial experts, bitcoin reached its highest price last year in part because more companies began accepting it as a form of payment.
Despite the risks of wild price swings, roughly 40 million Americans have invested in cryptocurrencies, including about 43% of men ages 18 to 29.
Employees who choose Fidelity’s new option will have their bitcoin held and managed in a so-called digital asset account, which is separate from the main 401 bucket.
“Cryptocurrencies’ prices have been extremely volatile,” Khawar wrote.