What Are the Most Affordable Ways to Invest in Cryptocurrency Through an IRA?

Cryptocurrency has evolved from an obscure asset class into a mainstream retirement savings vehicle. No matter how someone feels about bitcoin and altcoins, there’s no denying that crypto can generate wealth over time. Although this group of commodities remains notoriously volatile, it now has more than a decade of track record. The c market is still around and achieves new milestones every cycle.

Parking cash in a crypto individual retirement account (IRA) is one of the smartest ways to have some exposure to bitcoin and large-cap altcoins. This strategy allows investors to bet on the cryptocurrency market over the long term and enjoy tax-deferred or tax-free gains. Crypto IRAs can supplement fully funded retirement accounts, diversify investments and yield exponential returns.

Discover the factors to consider when comparing cryptocurrency IRAs and the most affordable options on the market.

What to Consider When Comparing Crypto IRAs

Investing in cryptocurrency — even through an IRA — comes with enormous risk. The space has its fair share of bad actors trying to defraud hapless investors. Exercise due diligence when choosing where to deposit funds to grow wealth with peace of mind.

For starters, consider these factors when comparing cryptocurrency IRA platforms.

• Supported cryptos: Access to diverse crypto assets matters to let investors hold established coins with more stable prices or lower-cap ones with potentially higher rates of return.
• Account options: Crypto IRA platforms can offer various account types with distinct tax advantages to give investors more latitude in maximizing gains.
• Minimum deposits: Some platforms require investors to deposit a minimum amount to create an account, which may not suit some people’s investment strategies.
• Security: Many IRA providers are not crypto wallet custodians and only facilitate transactions for investors, so they rely on third parties to secure assets and keep hackers at bay.
• User-friendliness: User-friendly IRA platforms make it easy for investors to manage their accounts and review the growth of their investments.
• Insurance: Dependable crypto platforms carry adequate insurance in one way or another to protect investors against financial losses due to different contingencies, including theft, damage and misuse.
• Compliance: Trustworthy IRA platforms comply with the guidelines set by relevant tax authorities and abide by industry standards to protect the best interests of investors.
• Reputation: Reputable crypto IRA providers receive high ratings and rave reviews from users, telling other investors the strengths and weaknesses of different platforms.
• Customer support: Reliable IRA providers offer self-help and human customer support methods to address investor concerns responsively and satisfactorily.

4 Most Affordable Cryptocurrency IRAs to Invest In

The number of crypto IRAs has grown since the launch of the first one in 2016. The four best IRA platforms for investors wanting to increase retirement savings through crypto are Accuplan, BitIRA, iTrustCapital and BitcoinIRA. Discover what each cryptocurrency IRA provider brings to the table.

1.     Accuplan

Accuplan offers self-directed traditional and Roth IRAs. They’re excellent options for investors wishing to diversify into dozens of cryptocurrencies with a minimum balance of only $395. This lax requirement is perfect for low-income earners following creative budgeting methods to set aside cash for retirement.

This organization offers crypto IRA custodial services through its sister company, American Estate & Trust. This third-party custodian holds the keys to the crypto wallets of investors to stop direct coin removal from Coinbase — the largest cryptocurrency exchange in the United States by trading volume. This layer of security prevents unauthorized parties from moving assets out of Coinbase.

This South Jordan, Utah-headquartered company’s representatives have a wealth of experience in the retirement account industry, lending their expertise to guide investors in all things self-directed IRAs. Accuplan’s trained staff helps investors navigate federal and state tax-related regulations to stay compliant with laws and Internal Revenue Service (IRS) rules.

Accuplan takes pride in its user-friendly mobile app. Its intuitive platform doesn’t require users to open a third-party trading account, helping investors get started in minutes. Its crypto trading portal makes it painless for investors to fund their self-directed IRAs, buy and sell digital assets in under a minute, and review the historical growth of investments with ease.

2.     BitIRA

BitIRA provides various self-directed IRA accounts, including traditional, Roth, Simplified Employee Pension (SEP) and Savings Incentive Match Plan for Employees (SIMPLE) IRAs. These options allow investors to roll conventional and alternative assets — including cryptocurrencies such as BTC, ETH, LTC, BCH, XRP and SOL — into one account. This provider’s strategic partnerships separate it from the rest.

This Burbank, California-based company has teamed up with Equity Trust Co. — an established alternative asset custodian and administrator with more than 50 years of experience. It manages more than $39 billion worth of assets for over 150,000 investors. Equity Trust Company’s myEQUITY online account management system offers convenience to investors.

BitIRA’s exchange partner is Galaxy Digital — a publicly traded entity subject to higher standards of transparency than private exchanges. This self-directed IRA provider has joined forces with Ledger Enterprise for asset storage and security.

Ledger Enterprise stores cryptos cold, so the private keys to assets are offline and safe from hackers. It renders assets accessible only through a multisignature authorization system. This method is a departure from the use of a single private key, which is more prone to hacking due to the risk of a single point of failure.

This security solutions provider insures the cryptocurrencies under its care against loss, theft, damage or destruction. Its system undergoes third-party audits to ensure adherence to rigorous security standards.

BitIRA accounts require a minimum investment of thousands of dollars. Opening one can take a few weeks. Save for a few document submissions, approval and signature, an investor doesn’t have to do anything during account creation. A company representative coordinates with Equity Trust Co. and old asset custodians, initiating funding and facilitating rollovers seamlessly.

3.     iTrustCapital

iTrustCapital IRA accounts are self-directed traditional, Roth, SEP and SIMPLE. Fortis Bank is its qualified custodian, holding investor assets in cold wallets for security. This IRA provider uses Coinbase Custody, Fidelity Digital Assets and Fireblocks as storage partners, each carrying commercial crime insurance.

It only takes one to three business days to open an account with this Irvine, California-based company, but there’s a $1,000 minimum investment. Thankfully, it supports numerous funding methods. It accepts cash contributions through automated clearing house transactions, IRA transfers and employer plan rollovers.

This IRA provider permits multiple accounts per investor. However, the IRS’s annual funding limit covers cumulative contributions made across all accounts under one name. This restriction applies to cash contributions only. IRA transfers and qualified plan rollovers have no ceiling.

Investors can fund iTrustCapital accounts with U.S. dollars but can use in-kind cryptocurrency transfers from other bitcoin and crypto IRA accounts.

Investing in dozens of cryptos through an iTrustCapital IRA account feels like trading digital assets on exchanges. The iTrustCapital platform has a conditional transaction feature. This capability enables investors to execute a trade automatically when the price of a coin reaches a specified price.

Conditional transactions help crypto holders take advantage of price fluctuations to maximize gains when buying and minimize losses when selling assets. iTrustCapital uses its proprietary software to monitor asset prices closely, allowing liquidity providers to pull the trigger on trades at prices real-time market conditions allow.

4.     BitcoinIRA

BitcoinIRA is the cryptocurrency IRA pioneer, so its track record is second to none. It offers self-directed traditional, Roth, SEP and SIMPLE IRAs and allows account holders to trade virtual coins 24/7 through its custom iOS and Android apps.

Investors set up a BitcoinIRA account in a few minutes and fund it by at least $3,000 via bank transfers and 401(k) rollovers, which can take no more than five business days. This provider also funds transfers involving existing IRAs. It has no investment cap, so investors enjoy the freedom to hold as much retirement savings in crypto as they desire.

Digital Trust is BitcoinIRA’s custodian, performing administrative roles on behalf of investors. This Nevada-chartered trust company is subject to stringent regulatory oversight, speaking volumes about its security and financial integrity.

This Las Vegas crypto IRA provider has an exclusive partnership with BitGo to extend military-grade security to investors. BitGo uses cold storage and supports multisig technology, allowing investors to self-trade countless digital assets around the clock while the coins stay segregated within their ecosystems.

BitcoinIRA mobile apps are as intuitive as they come. The company offers live guidance to help investors navigate the online portal. This provider’s dedicated IRA specialists also help clients through email and over the phone.

While BitcoinIRA doesn’t offer financial advice, it provides various tools, including price charts, videos and webinars, to help crypto investors make informed decisions when buying, selling and swapping assets.

Boost Retirement Savings Through Crypto IRAs

No cryptocurrency IRA provider is perfect for every investor, but Accuplan, BitIRA, iTrustCapital and BitcoinIRA tick all the right boxes to help ordinary people ride the crypto wave prudently and enjoy tax-deferred and tax-free capital gains. Consider these four providers to capitalize on cryptocurrencies to grow retirement savings.