Traditional individual retirement accounts (IRAs) can secure future financial stability. But as global events continue to make markets more volatile, some individuals are trying to diversify their IRAs with alternative assets like Bitcoin and other cryptocurrencies.
Bitcoin is a digital asset, not a physical one. Thus cryptocurrency IRAs need to be managed by specialists with complete knowledge of cryptocurrency trading and enhanced security for sensitive data.
We examined almost a dozen Bitcoin IRAs based on knowledge, security, experience, costs, and other factors. Here are our top selections.
The Best Crypto IRA Companies
Self-directed IRAs (SDIRAs), called “crypto IRAs,” let you purchase and sell cryptocurrencies on an American-based market.
The SDIRA follows the same rules regarding taxation and procedure as any other traditional IRA. Nevertheless, it would be beneficial to be aware that, like stocks and bonds, cryptocurrencies are treated as property by the IRS.
But it’s anyone’s guess whether these techniques will provide the intended massive increases or experience unexpected drawbacks.
Our top pick for the best overall Bitcoin IRA provider is Bitcoin IRA, which offers 24/7 trading, safe cold storage for digital assets, and $700 million in insurance protection.
Why we choose it
Because it is simple to set up, lets users invest in more than 60 cryptocurrencies, and enables holders of crypto assets to receive income; Bitcoin IRA is our top pick.
- Account signup takes a few minutes.
- Supports 60 or more cryptocurrencies
- 24/7 online or mobile app trading
- Earning interest on cryptocurrency assets
- Cold storage is used for and insured cryptocurrency holdings.
- Fees are not mentioned.
- Minimum Investment of $3000
A market leader in crypto IRA services, Bitcoin IRA, enables Americans to safely add cryptocurrency assets to their retirement accounts and tax effectively.
The Los Angeles-based startup, founded in 2015, has made it possible for over 150,000 users to put Bitcoin (BTC) and other cryptocurrencies into traditional ira, Roth IRA, SEPs, and 401(k)s.
12 Customers can also roll over their current IRAs with Bitcoin IRA. It takes a few minutes to sign up for a cryptocurrency IRA with BitcoinIRA, and users can trade cryptocurrencies around-the-clock online or through the bitcoin ira companies mobile app.
There is no maximum investment limit, and the minimum investment is $3,000.
Additionally, users can open an IRA EarnTM interest account with a minimum investment of $10,000 and earn up to 6% interest on Bitcoin, Ether, and US dollars.
Investors benefit from a high level of security because cryptocurrency ira saved with BitcoinIRA is safely stored offline and insured.
However, fees for BitcoinIRA fluctuate depending on the first deposit and are unclear. Only after speaking with a company representative throughout the registration procedure will new clients learn how much they would be required to pay.
We recommend iTrustCapital as having the best rates and costs for Bitcoin IRAs because it makes it simple for beginners and experienced investors to open a Bitcoin IRA with the help of skilled consultants and transparent pricing.
Why we choose it:
Investors regularly managing their crypto retirement portfolios will value iTrustCapital’s meager trading fees.
- Meager trading fees
- Free of monthly account fees
- Minimum investment required
- Uses an institutional-grade crypto custody system to secure funds
- Financial advisers are not appointed.
Through their retirement accounts, people can buy, sell, and trade cryptocurrencies and actual gold through iTrustCapital, a firm founded in 2018. The business ranks first for best rates and fees thanks to having the lowest service and trade fees.
Trust capital provides some of the lowest trading and investment charges. iTrustCapital charges just 1% for every transaction, whereas it’s customary to pay up to 15% when trading cryptocurrency ira.
Clients are not charged a monthly fee, an initiation fee, broker fees, or scaling based on the size of their assets.
Additionally, new users receive a $100 Bitcoin prize when they fill their accounts.
iTrustCapital’s 24-hour transaction service enables customers to trade in 29 cryptocurrencies, including Bitcoin, Ethereum, Litecoin, Bitcoin Cash, Ripple, and EOS, at any time, day or night.
Only $1,000 is required to open an account, and each trade only requires $30. Additionally, while still paying the exact costs, iTrustCapital allows its clients to diversify their IRA investments using gold.
iTrust declared in June 2021 that it had started using Coinbase Custody to protect its digital assets worth up to $370 million. This is in addition to Munich Re, a renowned supplier of insurance-related risk solutions established in 1880, providing its basic coverage, which starts at $50 million.
The most significant investor experience is provided by Coin IRA, which leads the pack with minimal fees and a variety of storage options while guiding users through setting up and administering a cryptocurrency IRA.
Why we choose it:
For investors interested in incorporating cryptocurrency into their IRAs, CoinIRA provides several resources.
One of them is a free cryptocurrency IRA book that explains all you need to know about tax advantages, crypto retirement savings, inflation hedging, and more. Another is consultants who can help you with any queries regarding cryptocurrencies.
- Cryptocurrency consultants are available.
- Several safe wallet choices
- Low costs
- Supports a variety of cryptocurrencies, including bitcoin, Ethereum, litecoin, and other
- The storage wallet of your choice is available.
- Creating a cryptocurrency IRA account requires at least $20,000
- The website doesn’t list any fees.
Coin IRA was established in 2017 as a spin-off of gold and silver IRA provider Goldco to apply the business’ expertise in alternative asset IRA investing to cryptocurrencies.
Our pick for the best investment experience is due to its devoted cryptocurrency ira advisors, reasonable fees, and selection of security selections.
With its free, downloadable “Ultimate Guide to Cryptocurrency Investing,” Coin IRA enables people to get started by enlightening readers on the financial advantages of cryptocurrency IRAs and how to convert current retirement accounts to invest in cryptocurrencies and more.
From there, consumers can create an account with the help of the company’s dedicated bitcoin retirement experts.
Coin IRA enables trading in several cryptocurrencies, including Bitcoin, Ethereum, and Litecoin. Additionally, it allows consumers to select the amount of asset security they desire.
Assets can be safely kept offline, transferred to a hard wallet under their control, or sent straight to the cryptocurrency ira wallet of their choice.
The minimal investment to start a cryptocurrency IRA with Coin IRA is $20,000, or $3,500 if money is transferred from a non-IRA account.
Although the business doesn’t list fees on its website, they have verified that there is an annual startup fee of $50, an annual maintenance fee of $195, and a monthly storage fee of 0.05%.
BitIRA is the leading choice for security since it provides Bitcoin IRAs with offline cold storage of private keys and dollar-for-dollar insurance coverage for digital assets.
Why we choose it:
Because BitIRA stores every cryptocurrency ira in cold storage and offers comprehensive, end-to-end insurance coverage to safeguard customer assets, it is our top choice in the security category.
- Digital assets are stored in secure offline environments.
- Complete insurance for digital assets
- Transactional multi-encryption encoding
- Accounts must be opened with a digital currency expert.
Although it was founded in 2017, BitIRA has already earned a reputation for providing the most significant levels of protection for cryptocurrency investing storage and transactions, backed by unlimited insurance coverage, making it our top pick for security.
To keep transactions secure while they’re most exposed online, BitIRA uses several encryptions.
Transactions are then transferred to physical keys maintained offline in grade-5 nuclear bunkers guarded by armed guards and computer security experts around-the-clock.
Because BitIRA is confident in its security procedures, it ensures all digital client currencies are at total value and covers all digital assets dollar-for-dollar.
Additionally, the business provides a $1 million consumer protection insurance policy to guard against internal fraud or theft instances.
Customers who want to build an ira account with BitIRA must engage with a digital currency professional to open an account and must invest a minimum of $5,000.
Customers can invest in and transact in nine different cryptocurrencies through the firm, including Litecoin, Ripple, Ethereum, and Bitcoin. On its website, BitIRA doesn’t list any costs.
We rank Equity Trust as the best for self-directed investments since it has been maintaining self-directed IRAs for 45 years with both conventional and non-conventional investments and no transaction costs.
- 45 years of self-directed IRA experience
- Supports both conventional and unconventional investing strategies
- With no transaction costs
- High administrative fees
- Accounts must be opened through a representative.
Equity Trust, a 1974-founded provider of financial services, expanded into the self-directed IRA market in 1983.
Our top pick as the best for self-directed investments is the company due to its broad experience in conventional and alternative investments, lack of transaction costs, and personalized guidance.
The start-up of an Equity Trust SDIRA requires direct communication with a representative on the client’s part. Customers can trade in up to 8 cryptocurrencies after opening an account, with no fees and a one-day payout, including Bitcoin, Ethereum, and Litecoin.
Equity Trust is equally concerned with security and uses over six security measures, such as multi-factor authentication, multiple encryptions, and safe cold storage. Additionally, the business provides end-to-end insurance for its digital assets.
Clients of Equity Trust have access to SDIRA experts who can assist them in managing their accounts and educational resources to understand their investment alternatives better.
While the business does provide its customers with a dashboard for managing transactions, it still requires them to give instructions to an account professional to invest money from their funds.
In addition to a setup fee of $50 and a monthly cold storage fee of 0.07%, dependent on the account balance, the business levies annual administration fees ranging from $75 to $2,640, depending on the size of the account.
Regal Assets has the top spot in our ranking for the best variety of cryptocurrencies supported since it offers IRAs that let customers invest in both physical and digital assets, including all well-known cryptocurrencies.
- Accepts all frequently used cryptocurrency
- Fixed-price fees
- Accounts must be opened through a representative.
Regal Assets, an organization that invested in alternative assets and was established in 2009, added cryptocurrencies to its holdings in 2017.
Although the company’s first focus was on precious metals, we believe it offers the best selection of supported cryptocurrencies and allows the trading of well-known cryptocurrency investments.
With Regal Assets, opening an IRA account is simple, whether you invest money upfront or transfer funds from another type of IRA. A team member will contact clients when they submit an online application to set up their accounts.
Regal Assets was the first business in the sector to be granted a crypto trading license and is the highest crypto IRA provider in the United States.
Despite only listing 22 supported cryptocurrencies on its website, including Bitcoin, Ethereum, Ripple, and Litecoin, the company allows its customers to invest in virtually any cryptocurrency they choose.
Regal Assets’ flat fees, which include a $100 annual administration fee and a $150 annual storage fee, both of which are exempt the first year, are another distinctive aspect of the company.
The storage costs are lower than those provided by other companies and provide a variety of offshore storage alternatives for precious metals.
Because it gives consumers the most freedom and control over their cryptocurrency assets, Board Financial is our top pick for the finest self-directed crypto IRA provider.
- Strong control on cryptocurrency investments
- Flat-rate pricing model without trading fees
- Enables users to buy any cryptocurrencies
- Having the capacity to invest in a variety of alternative assets
- Allows knowledgeable cryptocurrency investors to self-custody
- Crypto self-custody could put newcomers at risk for security issues.
Customers gain complete control over their self-directed bitcoin IRAs thanks to Broad Financial’s “checkbook control” service.
Customers can use any wallet and trade on any exchange while still receiving the advantages of having their money in a tax-advantaged retirement plan.
However, consumers who select self-custody are also in control of their safety and storage, which might be difficult for novice cryptocurrency buyers.
The Checkbook IRA, Self-Directed IRA, and Solo 401(k) contribution offered by Broad Financial allow American clients to include crypto assets in their retirement portfolios.
There are no trading fees for Checkbook IRAs; instead, the company charges a one-time starting fee of $1,295 and a custodian fee of $95 every quarter.
Experienced cryptocurrency investors will probably value the high level of autonomy that Broad Financial offers by allowing consumers to invest in whatever cryptocurrency asset they choose and providing a self-custody option.
How did we choose the winners?
We looked into several bitcoin IRAs to discover the best options for cryptocurrency selection, costs, security, features, and more.
We focused on issues related to accounting minimums and setup/advisory fees regarding costs. When comparing systems, we also took customer service accessibility into account.
What Is a Bitcoin IRA Company?
A Bitcoin IRA provider is a registered individual retirement accounts (IRA) supplier that enables people to invest in cryptocurrencies for their retirement tax-efficiently.
In contrast to standard and Roth IRAs, self-directed IRAs give you more control over the investments that go into your retirement account. Self-directed IRAs can match the tax structure of a traditional or Roth IRA.
You can even use them to invest in non-traditional assets like cryptocurrency, gold, and real estate.
Additionally, all SDIRAs are required by law to have a qualified custodian who oversees the account. For instance, BitIRA manages the performance as the custodian, carries out all cryptocurrency transactions, and stores your funds safely.
How Do Bitcoin IRAs Work?
The key distinction between a Bitcoin IRA companies and other IRAs is that with a Bitcoin IRA, investors can choose to invest in cryptocurrencies and other conventional asset classes.
You must be a resident of the United States, have a social security number, inform of the name of your employment, and supply personal information throughout the signup process to open a Bitcoin IRA account.
Generally speaking, you can open a Bitcoin ira account at any time and begin using Bitcoin to save for retirement. The amount you can invest as part of your yearly IRA contributions is, however, subject to IRS restrictions. You might be able to transfer your money into a bitcoin ira companies if you currently have an IRA or 401(k).
IRAs for bitcoin (and other cryptocurrencies) can be either traditional or Roth IRA. The distinctions between traditional and Roth IRA accounts are explained here.
Are Bitcoin IRAs Safe?
With the help of Bitcoin IRAs, people may include Bitcoin in their retirement accounts portfolios without having to deal with the difficulties of safely purchasing and maintaining cryptocurrency assets. Licensed financial services companies offer these investment vehicles.
Additionally, most providers of crypto IRAs protect all user funds against a loss of assets due to fraud or hacking, which can happen in the crypto trading ecosystem.
While this increases security for owners of Bitcoin IRAs, cryptocurrency-based IRAs are not protected by SIPC. Therefore investors are not safeguarded if the IRA provider files for bankruptcy.
Furthermore, price fluctuations in the cryptocurrency markets do not exclude Bitcoin IRAs. An extremely hazardous asset type, cryptocurrencies could lose all of their value.
As a result, you should only increase your retirement fund’s crypto exposure to the extent that you feel safe doing so.
How are bitcoin IRAs taxed?
Simple self-directed IRAs that investors finance with cryptocurrency are known as bitcoin IRAs. Additionally, traditional crypto and Roth IRAs often follow the same tax regulations as conventional IRAs.
With a standard crypto IRA, your contributions are tax-deductible, and you won’t be required to pay taxes until you withdraw your funds at age 59.5. However, remember that attempting to start before age 591/2 will result in a tax penalty.
Roth crypto IRAs are similar to traditional Roth IRAs in that they permit early withdrawals without incurring penalties, upfront tax payment, and tax-free withdrawal of gains after age 591/2.
What are the advantages of Bitcoin IRAs?
The primary benefit of Bitcoin IRAs is that they diversify retirement accounts portfolios, which helps to reduce risk and increase possible profits.
Due to their comparatively stable markets, investors who previously diversified their IRAs with precious metals are now turning to cryptocurrencies for the same reason.
Investors may be able to avoid paying high capital gains taxes by utilizing digital currency in particular types of retirement funds.
Do Bitcoin IRAs worth it?
You are mostly in control of this issue. Simply put, bitcoin IRAs are self-directed IRAs that give access to various alternative assets, including real estate, precious metals, and cryptocurrencies like bitcoin and Ethereum.
These accounts are also offered in traditional and Roth forms, with contribution limits of $6,000 for individuals under 50 and $7,000 for those over 50. However, before choosing this approach, it’s crucial to consider the dangers associated with investing in cryptocurrencies.
It’s important to keep in mind that you cannot finance these accounts with current crypto assets; rather, you must buy new crypto shares with US dollars after the account has been established.
Another thing to bear in mind is that traditional retirement accounts and most mutual funds are typically much less volatile than cryptocurrencies like bitcoin.
For this reason, if you’re considering using a crypto IRA, it’s important to proceed with care.
|Company||Why we choose it||Main Features|
|Bitcoin IRA||Best Overall||Full-service Offering 24/7 trading, bitcoin ira companies|
|iTrustCapital||Best For Rates & Fee||No regular monthly fees and a 1% transaction fee|
|Coin IRA||Best Investor Experience||Consultants for cryptocurrencies and a variety of storage choices|
|BitIRA||Best for Security||Safe offline storage and complete insurance protection|
|Equity Trust||Best for Self-Directed||Experience managing self-directed IRAs for more than 44 years|
|Regal Assests||Best Of Cryptocurrency Supported||Encourages investing in all widely used cryptocurrencies|
|Broad Finance||Best for Crypto Account Management||Extensive control of cryptocurrency investments|
Bitcoin IRAs allow you to invest in cryptocurrencies for your retirement in a tax-efficient investment vehicle if you have faith in the future of Bitcoin and other cryptocurrencies and want to include this new asset class in your retirement portfolio.
Our best choice overall among all the crypto IRA service providers we researched is BitcoinIRA, which offers a wealth of options and a user-friendly website.
Compared to Broad Financial, BitIRA stands out for having an unusually high level of security, while the latter offers users a significant degree of control over their cryptocurrency investments. Finally, trust capital gets credit for having reasonable fees.
Frequently Asked Questions
Is a crypto IRA a good financial decision?
For those who desire to avoid capital gains taxes while accumulating wealth, bitcoin IRAs can be an attractive investment choice. Regular cryptocurrency trades would be liable to capital gains taxes if you didn’t have an IRA. However, self-directed IRAs do away with those extra expenses (or at least defer them).
Can I have a cryptocurrency IRA?
Since 2014, the IRS has treated cryptocurrencies as property, which means they are treated similarly to stocks, bonds, and other investment vehicles when it comes to taxation. They cannot be contributed by the account holder into an IRA, just like the other investments.
What crypto has the greatest potential?
Most people in the crypto community believe that Ethereum has the best chance of increasing in value. Before 2030, some predict it will increase by up to 10000%, reach $100k, and overtake Bitcoin as the most valuable crypto project.
What are the benefits of Bitcoin IRA?
The primary benefit of Bitcoin IRAs is that they diversify retirement portfolios, which helps to reduce risk and increase possible profits. Due to their comparatively stable markets, investors who previously diversified their IRAs with precious metals are now turning to cryptocurrencies for the same reason.
Is Coinbase provide an IRA?
You can use your retirement funds to buy, sell, and trade 200+ coins and tokens directly through Coinbase with a crypto IRA.
Can I buy crypto through Fidelity?
Among 401(k) providers, Fidelity Investments is the biggest in the country. When the functionality formally launches later this year, Fidelity’s platform will allow millions of users to trade cryptocurrencies, even though it will only permit customers to allocate 20% of their contributions to Bitcoin.