While traditional IRAs have long been considered a sound option for ensuring financial stability in the future, the growing instability of global markets has led a portion of investors to explore unconventional avenues of diversification, such as Bitcoin and other cryptocurrencies.
Because Bitcoin is a digital rather than tangible asset, cryptocurrency IRAs require specialized management, greater protection of sensitive data, and deep expertise in cryptocurrency trading. We researched nearly a dozen and chose the best Bitcoin IRAs based on expertise, security, experience, fees, and more.
The Best Bitcoin IRA Companies for 2023
iTrustCapital
With iTrustCapital, investors of all levels can easily begin a Bitcoin IRA through the guidance of knowledgeable advisors and clear pricing models, which is why we consider it the top option for affordable fees and rates in Bitcoin IRAs.
iTrustCapital, established in 2018, enables individuals to purchase and exchange cryptocurrencies and tangible gold in real-time via their retirement accounts. The company boasts the best rates and fees due to its exceedingly low service and trade fees.
iTrustCapital boasts competitive trading and investing charges. While it is typical to pay up to 15% for each cryptocurrency transaction, iTrustCapital only levies a 1% fee. Clients face no monthly or initial purchase fees, broker fees, or escalating costs based on their asset value. Furthermore, first-time users are eligible to receive a $100 Bitcoin incentive upon funding their accounts.
Clients of iTrustCapital have access to a 24-hour transaction service that enables them to trade in 29 cryptocurrencies, such as Bitcoin, Ethereum, Litecoin, Bitcoin Cash, Ripple, and EOS, at any time. The company requires a minimum of $1,000 to open an account, and a $30 trade minimum is in place. Furthermore, iTrustCapital allows its clients to diversify their IRA portfolios with gold while being charged the same fees.
Bitcoin IRA
Bitcoin IRA provides a comprehensive range of services for Bitcoin IRA, which includes around-the-clock trading, secure cold storage for digital assets, and insurance coverage worth $700 million.
Bitcoin IRA, which was founded in 2016, is the premier and largest provider of IRA services for cryptocurrency investments. The platform’s primary value proposition lies in its user-friendly account setup and management, round-the-clock live trading, and high-level security features.
By means of its application or web dashboard, Bitcoin IRA facilitates the establishment of an IRA account and digital wallet with minimal hassle within a matter of minutes. Upon depositing funds into the account, users are eligible to engage in trading activities within a three to five day period, and have the freedom to buy, sell, or trade online at any given hour.
Bitcoin IRA facilitates the trade of more than 60 cryptocurrencies, including Bitcoin, Ethereum, Cardano, and Litecoin. While a standard account needs a minimum deposit of $3,000, the company presents a Saver IRA option that calls for $100 as an opening deposit and a monthly recurring investment of $100 through a linked bank account.
BitIRA
With dollar-for-dollar insurance coverage and secure offline storage of private keys, BitIRA emerges as the most secure option when it comes to Bitcoin IRAs.
Despite being a relatively new enterprise established in 2017, BitIRA has gained recognition for providing unparalleled security measures for cryptocurrency transactions and storage, coupled with boundless insurance coverage, qualifying it as our top pick for security.
To ensure the security of online transactions, BitIRA employs multi-encryption encoding. Once transactions are finalized, they are relocated to physical keys maintained offline and stored within grade-5 nuclear bunkers, safeguarded by 24/7 armed guards and computer security experts.
Equity Trust
Equity Trust has earned the top position for self-directed investments due to its 45-year track record of managing both traditional and alternative investments in self-directed IRAs without charging transaction fees.
Equity Trust, a financial services organization founded in 1974, expanded its services to include self-directed IRAs (SDIRAs) in 1983. Its substantial knowledge in both conventional and unconventional investments, absence of transaction fees, and personalized support, positions it as our preferred option for self-directed investments.
To initiate an Equity Trust SDIRA, clients must directly communicate with a representative. Once the account is established, clients have access to cryptocurrency trading in up to eight varieties, such as Bitcoin, Ethereum, and Litecoin, with no charges and settlement within one day.
Equity Trust places a high level of importance on security by implementing six security measures, such as multi-factor authentication, multi-encryption, and secure cold storage. Additionally, the company provides end-to-end insurance coverage for its digital assets.
Coin IRA
Coin IRA offers guidance on how to initiate and finance accounts, along with affordable fees, making it the top choice for optimal investor satisfaction.
We consider Coin IRA to offer the most superior investor experience due to its founding in 2017, coupled with its inexpensive fees and focus on customer education.
Coin IRA offers a free resource called “How to Add Bitcoin and Other Cryptocurrencies to a Crypto IRA” to assist people in starting. This resource provides information about the advantages of cryptocurrency IRAs, converting current retirement accounts to invest in cryptocurrencies, and more. Afterward, the company provides dedicated cryptocurrency retirement professionals to guide clients through the account setup process.
Investment and trading in cryptocurrencies like Bitcoin, Ethereum, Litecoin, and others are facilitated by Coin IRA. The assets are secured in cold storage and kept off-balance sheet under the name of Equity Trust in order to benefit individual account holders.
To initiate a cryptocurrency IRA with Coin IRA, one must invest a minimum of $5,000 or transfer that amount from a non-IRA account. The company affirms that creating the account incurs no fees, and there are no annual or monthly maintenance fees. Additionally, there is no cost for secure cold storage of digital assets belonging to account holders.
Final Verdict
It can be challenging to identify the firms that provide the most superior knowledge, protection, and assistance as an increasing number of firms enable their customers to include unconventional assets such as Bitcoin in their IRAs. Ultimately, companies that have extensive experience in managing both conventional and digital assets are capable of safeguarding their clients’ retirements for the future.
Bitcoin IRA takes the top spot for safeguarding digital assets, Coin IRA provides the most favorable investment experience, iTrustCapital leads with the best rates and fees, BitIRA excels in security measures, Equity Trust is the preferred option for self-managed investments, and Regal Assets offers the most extensive range of supported cryptocurrencies, rounding out our list.
Bitcoin IRA Review: Tax-Deferred Investing in Crypto & Gold
Bitcoin IRA allows you to trade cryptocurrencies within an individual retirement account (IRA) that offers tax benefits. This trading platform provides assistance in transferring retirement accounts into a crypto IRA and offers the option of investing in gold. However, there are costly fees associated with opening an account. Check out our comprehensive Bitcoin IRA review to determine if it is a practical choice for planning your retirement savings.
Full Bitcoin IRA review
This cryptocurrency IRA is a good fit for: Investors who want to add cryptocurrency to their retirement funds and get the tax benefits of an IRA.
Pros
- Tax-deferred crypto investing
- Gold investing
- Full-service IRA rollover
- Large selection of cryptocurrencies
- U.S. regulated
- Educational content
Cons
- Expensive fees
- Lack of fee transparency
- No crypto deposits
Top perks
Tax-deferred crypto investing
Bitcoin IRA offers tax benefits compared to purchasing cryptocurrency through a broker or crypto exchange due to its nature as a self-directed IRA. Your contributions are tax-deductible in the year they are made, just like with a regular IRA, and you will only be required to pay taxes when you withdraw the funds.
Bear in mind that although you can save taxes with an IRA, doing so means sacrificing some degree of flexibility. As IRA is designed as a retirement account, any withdrawals taken prior to reaching the age of 59 and a half will entail the imposition of early withdrawal penalties and will be subject to income taxes.
Gold investing
Bitcoin IRA allows you to purchase gold, alongside digital currencies. The fees and purchase procedure remain unchanged, however instead of purchasing cryptocurrency, you acquire ownership rights to actual gold bars.
Investing in gold through Bitcoin IRA is a quick and simple method, made even better by the absence of expensive storage fees that other gold brokers typically impose. The gold is safeguarded in Brink’s bullion vaults, with insurance coverage included.
What could be improved
Expensive fees
Bitcoin IRA charges a set-up fee on your initial investment, as well as transaction fees of 2% per trade. These fees are common for crypto IRA accounts, but they’re significantly higher than what you could pay on crypto exchanges. Exchanges normally don’t have a set-up fee, and many of them charge transaction fees of 0.5% or less per trade.
Lack of fee transparency
Bitcoin IRA does not disclose its fee structure in advance, but rather suggests that one speaks with a representative by phone, email or chat to inquire about fees.
It can be quite annoying to have to go through a lot of steps with Bitcoin IRA just to find out its fees. Many other cryptocurrency platforms openly display their fee structures online, which means that Bitcoin IRA has no legitimate reason to withhold this information.
No crypto deposits
The transfer of cryptocurrency into an IRA is prohibited due to IRS regulations. Only U.S. dollars can be utilized to invest in a crypto IRA, regardless of the type of retirement account. The regulation applies to all retirement accounts based on cryptocurrency, not just Bitcoin IRA.
Alternatives to consider
Coinbase is a renowned cryptocurrency exchange globally known for its low fees through its sophisticated trade option, making it comparatively cheaper than Bitcoin IRA, if you desire to cut down on expenses. Additionally, apart from its feature-rich platform, it provides educational content and programs that you can earn from.
Robinhood is the ideal investing platform for those seeking flexibility, where securities such as stocks, ETFs, and crypto can be kept together. This renowned stock trading app and investing platform is user-friendly and offers free trading services.
How Bitcoin IRA works
Bitcoin IRA is a retirement account that allows one to invest in cryptocurrency and gold, as implied by its name.
An initial investment of $3,000 is required to open a Bitcoin IRA account. This amount can either be rolled over from an existing IRA, 401(k), or 403(b) account, or contributed in cash. It is not possible to use cryptocurrency holdings to fund the account due to IRS regulations. Furthermore, only deposits in U.S. dollars are accepted by Bitcoin IRA.
Rolling over your retirement account with Bitcoin IRA results in a three to five-day execution of the process. Once your account is financed, you gain access to the trading platform. The fund remains in your account within the platform, shielding you from dividend and capital gains taxes. Additionally, the money you deposit into the account is tax-deductible.
If you withdraw funds from your retirement account before reaching 59 ½, you will be penalized with taxes. An additional 10% early withdrawal fee will also need to be paid. However, you have the option to sell your funds and reinvest them in another IRA.
Fees overview
Bitcoin IRA does not provide upfront information about its fee amounts. However, it discloses that a one-time service fee is charged based on your investment amount, coupled with a minimal custodian and service fee. It advises potential customers to reach out to a representative for further details.
Upon requesting a price quote from Bitcoin IRA, a representative shared a list of fees.
- Set-up fee: 0.99%-4.99% charged on the initial deposit
- Transaction fee: 2.00% on trades
- Maintenance fee: 0.08% of total account’s monthly value ($20 monthly minimum)
Is your cryptocurrency safe with Bitcoin IRA?
Bitcoin IRA is a secure platform where clients can purchase, trade, and store cryptocurrency. The platform places great importance on security and implements multiple measures to safeguard client funds.
Bitcoin IRA’s web app is protected with 256-bit SSL certification encryption. BitGo Trust, which is provided by BitGo, the custodian of Bitcoin IRA, stores digital assets. BitGo, the largest on-chain Bitcoin transaction processor, possesses more than $2 billion in assets.
Bitcoin IRA securely stores all cryptocurrency investments in cold storage, which is the preferred storage method for optimal security as it is not linked to the internet.
Lloyd’s of London provides insurance for custodial assets up to $700 million under BitGo Trust’s coverage.
Bitcoin IRA is right for you if:
- You’d like to diversify your retirement savings with Bitcoin and other cryptocurrencies.
- You want to invest in cryptocurrencies tax free.
- You can weather volatility in your retirement portfolio.
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