There is a new self directed IRA that lets you invest in Bitcoin
There is a new kid on the individual retirement account block and he thinks he is going to change the way people invest with their IRAs.
iTrustCapital recently announced that they have set up a platform where people can set up an individual retirement account and trade cryptocurrencies.
Yes, that was cryptocurrencies, plural.
It's not just bitcoin, but a handful of the most popular cryptocurrencies.
More about it can be seen here:
https://cointelegraph.com/news/new-platform-lets-users-trade-crypto-and-gold-in-personal-ira
Some specifics...
iTrustCaptial is offering a type of self directed IRA where people can trade a handful of the most popular cryptocurrencies.
They don't have to worry about complicated tax issues since there are no capital gains or tax issues unless the user decides to withdrawal the funds.
But, for every buy or sell there is no tax.
Something that sounds like a breath of fresh air for most involved in the crypto space.
This is one of the few ways investors can gain exposure to bitcoin or crypto in a retirement account.
One of the only other options is to buy GBTC which is a bitcoin investment trust offered by Grayscale Investments.
Users can roll over existing IRAs or set up a new one.
(Source: https://itrustcapital.com/)
The fine print...
All of this sounds great except for one thing...
The fees!
They claim they are a low fee alternative to traditional self directered IRAs, but I beg to differ.
I looked into setting one up and quickly learned that they charge a $30 monthly fee.
If you are not dealing with hundreds of thousands or millions of dollars, that $30 fee will add up pretty quickly.
Plus you pay 1% on every trade.
That may sound small intitially, but what happens when you do that $10k buy?
You pay $100...
When you add that with the monthly $30 fee it quickly sounds like not such a good deal to me.
I think I will stick with my current self directed IRA for the time being.
Get rid of the $30 monthly fee and lower the trading commission and I would be in.
Stay informed my friends.
Image Source:
https://www.trustpilot.com/review/itrustcapital.com
-Doc
