The American Federation of Labor and Congress of Industrial Organizations (AFL-CIO), representing over 12 million workers, has issued a formal critique of the Senate’s proposed cryptocurrency regulatory framework. In a statement released this week, the labor federation asserted that the legislation creates merely “the facade of regulation” while failing to implement substantive safeguards for retirement investments.
The union expressed significant concern that the current bill’s provisions would potentially expose workers’ pension funds and retirement accounts to unacceptably high-risk digital assets without adequate protective measures. This position reflects growing apprehension among institutional investors regarding the volatility and regulatory uncertainty surrounding cryptocurrency markets.
Labor representatives emphasized that while they support comprehensive digital asset regulation, any framework must prioritize the financial security of working families. The AFL-CIO’s stance signals potential political hurdles for the legislation as it moves through the Senate, with worker protections becoming a central point of contention in the ongoing debate about cryptocurrency oversight.
The criticism comes amid broader discussions about appropriate regulatory frameworks for digital assets, balancing innovation with consumer and investor protection. The labor union’s position underscores the importance of establishing robust safeguards before permitting significant retirement fund exposure to emerging asset classes.
