Crypto regulation in the US has met with powerful resistance. The American Federation of Teachers (AFT) is demanding the withdrawal of a key digital asset market structure bill. Why?
The Core of the Conflict: The union sees the bill as a threat to the pension system.
Key AFT Concerns:
▶️ Loopholes for Risk: The bill could allow the conversion of traditional stocks into "tokenized" assets, bypassing securities rules.
▶️ Blow to Pensions: This would open the door for crypto assets in conservative retirement portfolios (401(k)s and state funds), exposing trillions of dollars ($46 trillion in the market) to unacceptable risk.
▶️ Systemic Threat: The loss of pension savings for millions of teachers and public employees could trigger a new financial crisis.
What They're Saying: "This bill pretends crypto assets are stable and mainstream for pensions. But they are not," stated the AFT.
Context:
The largest labor federation, AFL-CIO, has joined the teachers' opposition.
Opposite Trend: Trump's executive order pushes to allow crypto in 401(k)s, and Morgan Stanley is already testing such options.
The Bottom Line: The debate has moved beyond "for/against crypto." It's now about the financial security of future generations and who will bear the risks of innovation.
