From Dogecoin to Bitcoin to Coinbase, cryptocurrency is currently the hottest investment trend. You need to know this before buying.


A small group of workers will be able to invest in their 401 (k) cryptocurrency retirement plans next month, the Wall Street Journal reported Thursday.

ForUsAll Inc., a 401 (k) provider, earlier this month announced an agreement with the institutional arm of Coinbase Global Inc., a leading cryptocurrency exchange, that will allow employees on plans it manages to purchase up to 5% of their 401 (k) Posts in Bitcoin, Ether, Litecoin, and others, the Journal reported.

ForUsAll executives won’t say how many of the company’s 400 employer customers signed up for the cryptocurrency platform.

Founded in 2012, the report says it offers automated 401 (k) administration, menus with inexpensive mutual funds, and access to human advisors.

Crypto investments are virtually nowhere to be found in 401 (k) plans and individual retirement accounts right now.

No political talk in the office? We return to the office after COVID-19: can we talk to colleagues about politics?

Will the overdraft fees end? Overdraft fees hit low-income Americans hardest. Will other banks follow Ally on termination?

(Photo: Getty Images)

Cryptocurrencies are digital currencies that are created and exchanged over a decentralized computer network where transactions are secured and verified by coding.

Bitcoin, which was launched in 2009, is the original and most popular crypto in the world. It was designed as an alternative to government funds and is based on blockchain technology that acts as a public transaction book.

Bitcoin’s value depends on investor confidence as there is no central authority that regulates the supply. It was mainly used by traders for speculation rather than payments.

With just $ 1.7 billion in retirement assets, ForUsAll represents a small fraction of the $ 22 trillion retirement market, according to the Journal. But its crypto adoption comes at a time of increased mainstream interest in digital currencies.

For example, billionaires, celebrities, athletes and amateur investors have jumped into the cryptocurrency investment crazeUSA Today reported.

The prices for cryptocurrencies are based on supply and demand. This means that the rate at which a cryptocurrency can be exchanged for another currency can fluctuate widely, as the design of many cryptocurrencies ensures a high degree of scarcity.

Bitcoin bulls have called it a “store of value” – which in the past was reserved for safe investments like gold – arguing that it is a good investment to hedge against inflation.

This is because Bitcoin is not available indefinitely. In fact, only 21 million bitcoins can be mined, and around 18 million have been mined so far. Bitcoin mining is the process that creates cryptocurrency. It is resource intensive to control the number of bitcoins in circulation.

Do you have a tip on a business story? Reach the reporter at craig.harris@ or 602-509-3613 or on Twitter @CraigHarrisUSAT

Support local journalism. Subscribe to

Read or share this story: