Bitcoin IRA Review: Tax-Advantaged Investments in Crypto
- More than 60 cryptos to trade
- Strong security measures
- Easy accessibility
- No incoming crypto transfers
- Minimum funding amount
- Some account fees
What Is Bitcoin IRA?
Bitcoin is best known as the world’s biggest cryptocurrency, but you can also buy and sell it within a tax-advantaged crypto IRA. Bitcoin IRA is a self-directed IRA platform that currently offers more than 60 cryptocurrencies that clients can self-trade from their web portal or mobile app.
Coins available at Bitcoin IRA include Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), Stellar Lumens (XLM), Zcash (ZEC), Bitcoin Cash (BCH) and Ethereum Classic (ETC). You can invest in one coin or a combination of coins.
However, you cannot transfer your current cryptocurrency holdings into a Bitcoin IRA. Instead, you fund your account with cash and then purchase cryptos for your retirement account.
Who Is It Best For?
Bitcoin IRA works best for investors who want a way to buy, sell, and swap crypto in their IRA. Both new and experienced crypto investors can use Bitcoin IRA, but it is important for all interested investors to become familiar with cryptocurrency and its risks.
Investors who want to know how to buy crypto with an IRA but don’t have a lot of experience can have support from the Bitcoin IRA team. If you are new to IRAs, the Bitcoin IRA team can guide you through the process — from account setup and rolling over funds to navigating the self-trading platform.
The platform can be a good choice if you don’t have a ton of money to spend. There is a $3,000 funding minimum with Bitcoin IRA and no investment cap. You can also invest in a Saver IRA for just $100 per month.
How to Open a Bitcoin IRA Account
You can create an account in less than three minutes. After you create an account, you’ll be able to access your customized dashboard, fund the account, and access the live-pricing screen.
Your first step is to visit the Bitcoin IRA website and hit the blue “Open Account” button. After that, you will be taken to a screen where you will need to provide your first and last name, your phone number, and your email address. You will then create a password, check the consent box, and hit another “Open Account” button.
To transfer funds, you will need to state how much you want to invest and how you want to fund your account, and you’ll be asked to provide profile information. Most accounts will be ready to trade in three to five business days.
Once your account is funded, you can trade digital assets inside your self-directed retirement account using the Bitcoin IRA platform. You can buy, sell or swap anytime, anywhere by visiting the self-trading area within your dashboard.
Bitcoin IRA Features
Bitcoin IRA provides several features to ensure a secure and high-tech experience. Security is supported by BitGo, a provider of multi-signature encryption technology and cold-storage wallets. In addition, Bitcoin IRA offers up to $700 million in insurance coverage for eligible digital assets under custody.*
In terms of technology, Bitcoin IRA includes both a web portal as well as a mobile app for iOS and Android phones. New features and enhancements are regularly added to improve the overall trading experience.
Live customer support is provided by IRA specialists to help with questions about your retirement accounts. In addition, Bitcoin IRA offers training tools and on-demand resources about crypto and retirement planning. If you have questions, you can call 877-936-7175 during business hours. Bitcoin IRA’s website also allows you to schedule a 15-minute consultation at a time that works best for you.
How Bitcoin IRA Earned its Scores
Here’s a breakdown of the different factors that comprised GOBankingRates’ scoring.
To help protect your investments and secure your information, Bitcoin IRA partners with BitGo, a provider of multi-signature encryption technology and cold-storage wallets. BitGo is one of the world’s largest processors of Bitcoin transactions.*
Bitcoin IRA offers 24-hour access through its website and mobile app, which lets you buy, sell, and swap cryptocurrency within your self-directed IRA anywhere and anytime.
Bitcoin IRA accounts may come with fees that cover features such as personalized customer service. An IRA specialist will go over fees with you when you set up a consultation.
Bitcoin IRA offers live support from IRA specialists to help you get started and navigate your self-directed crypto IRA. Its team of specialists are available throughout the process. Training tools and other resources are also available to help you learn more about crypto and retirement planning.
Good To Know
With few exceptions, spending or withdrawing funds from any IRA before you reach the age of 59 ½ will result in an early withdrawal penalty. This applies to crypto IRAs as well. You can sell your crypto as long as the funds remain in your IRA or are used to invest in another asset.
Bitcoin IRA vs. Competitors
Choosing a crypto IRA is much more limited than choosing a traditional IRA because there aren’t as many provider choices. However, Bitcoin IRA does have a few competitors. Here’s a look at how they stack up.
|Bitcoin IRA||Secure crypto IRA platform with 24/7 access and a wide lineup of cryptocurrencies to invest in|
|Viva Crypto IRA||No restrictions on crypto IRA trading|
|Coin IRA||No startup, maintenance or storage fees|
Bitcoin IRA vs. Viva Crypto IRA
Viva has a $100,000 minimum requirement for clients, which is a much higher initial investment than the $3,000 minimum at Bitcoin IRA. Viva charges a $500 account opening fee and a 1% management fee.
Bitcoin IRA vs. Coin IRA
Coin IRA has no startup fee, annual or monthly maintenance fee or storage fee. But its $5,000 minimum starting investment is higher than at Bitcoin IRA.
Bitcoin, Ethereum, and other cryptocurrencies offer crypto exposure through tax-advantaged IRAs to help diversify your portfolio. Crypto investors should know their risks as the crypto market is volatile. Bitcoin IRA offers an established crypto brand as well as security and insurance* features to help protect your investment. If you are interested in long-term crypto investing, Bitcoin IRA offers a trusted brand with a low minimum investment vs. other crypto IRAs.
FAQsHere are answers to some of the most frequently asked questions about Bitcoin IRA.
- Is Bitcoin IRA Secure?
- Bitcoin IRA calls security its "#1 priority," and backs that up through an exclusive relationship with BitGo, which provides multi-signature encryption technology and cold-storage wallets.
- Is Crypto IRA a good idea?
- Investing in a crypto retirement account is still a relatively new opportunity and only offered by a few specialty providers. However, it is a way to further diversify your retirement portfolio, offers the usual tax advantages found in a traditional IRA and gives you access to long-term crypto investing.
- What retirement accounts are eligible to be rolled over to a Bitcoin IRA?
- You can roll over funds from an existing IRA, Roth IRA, SEP IRA, SIMPLE IRA, 403(b), or 401(k) into a self-directed Bitcoin IRA account.
*Security, storage, wallet providers and insurance may vary based on asset chosen and custody solution available.
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