AFSCME and labor allies say ‘no’ to crypto in our pensions

AFSCME, other labor unions and pro-retiree allies are fighting back against the cryptocurrency lobby’s efforts to pass a dangerous measure called the CLARITY Act.  

This bill would make it easier for highly unstable and unregulated cryptocurrency to infect millions of workers’ pensions and 401(k) accounts – even if the workers don’t intend to invest in crypto. 

The CLARITY Act is a serious threat to our retirements and a threat to our entire economy. By making it easier for the crypto industry to gamble with our pensions, it risks the futures of retirees across America. Earlier this year, nearly a dozen public pensions lost more than $330 million when their crypto investments tanked. 

AFSCME retirees like Frank Weglarz, the president of AFSCME Retirees Subchapter 120 from Ohio, are worried about the possibility of cryptocurrency invading his pension.

“I’m really concerned because I think crypto is so volatile,” said Weglarz, who was head custodian for a public school in Ohio. “I worry about my pension. It keeps me going. That’s how I pay my bills. And I don’t want to see any uncertainty in my pension or anyone else’s.” 

The CLARITY Act would also strip away critical cryptocurrency enforcement measures. It would skirt the authority of the Securities and Exchange Commission by replacing it with so-called oversight from the understaffed and underfunded Commodities Futures Trading Commission. The measure would also preempt state protections against cryptocurrency scams.