According to a report that was released early on Tuesday, the most recent push comes even as the cryptocurrency industry is fighting a fresh contagion that was fueled by the collapse of the cryptocurrency exchange FTX.

The group of United States senators is expressing new concerns regarding the plans that Fidelity has, and they want the company to withdraw the offer. The legislators believe that FTX's problems and the chain of events that led up to the company filing for bankruptcy are clear indications that the sector as a whole is experiencing difficulties, and they have stated this opinion in a joint letter.

Elizabeth Warren, Tina Smith, and Richard Durbin, three senators from the United States, wrote a letter to Fidelity requesting that the company abandon its plan to offer a 401(k) plan that would invest in bitcoin.

The current letter from US legislators expressing concern over Fidelity's plans is not the first time they have done so; a previous letter also suggested that the move could result in customers being harmed.

The senators say in the letter they sent out this week that the cryptocurrency industry is full of "charismatic wunderkinds" and fraudsters, the actions of whom put customers in a variety of dangers.