I understand your unique perspective regarding long-term stability but that risk isn't limited to 401Ks as it extends to a person's overall investing strategy w

I understand your unique perspective regarding long-term stability but that risk isn't limited to 401Ks as it extends to a person's overall investing strategy whether in stocks, bonds, cash, precious metals, real estate, crypto, etc. I use a 401k as one element in my overall investment portfolio but that portfolio is diversified and layered with overlapping time horizons. I reassess my strategy yearly and update the risk profile and time horizons as needed based on my age, life plans and market volatility. For me, a 401K was good way to optimize the 'very long-term' part of my portfolio because the 401K is mechanism to allow that portion of your investments to grow pre-tax. Of course, when I was in my 20s I put very little (or zero) into the bucket labeled 'very long-term.' By the time I was 40, I was putting the maximum amount allowed in my 401k every year because it basically worked out like a tax discount. However, the cost of gaining that tax discount is locking up those funds behind a penalty for early withdrawal. The chances I might need that money sooner must be weighed as a cost/benefit analysis. But that's really no different than many investment vehicles which have varying degrees of liquidity (T-Bills, bonds, real-estate, startup, etc.) The market prices the assets accordingly and it's not hard to construct a portfolio to match any risk/reward and time horizon you think is best for you.