Cryptocurrencies have become a dominant force in the financial world, and more investors are turning to crypto to grow their retirement funds by investing in alternative IRA options. In this Bitcoin IRA review, we’ll discuss what the self-directed IRA platform has to offer and if it’s the right fit for you!
Bitcoin IRA Review: Overview
Bitcoin IRA arose in 2016 to deliver investors a new way to invest in alternative digital assets to build retirement savings.
The self-directed IRA company was the first of its kind to offer Bitcoin and other cryptocurrencies as one of those alternatives.
This is what sets Bitcoin IRA apart from most IRA companies on the market.
The company first bought over ten million dollars’ worth of Bitcoin before adding Ethereum to the list in 2017.
Since then, the business has increased that number to six cryptocurrencies:
- Bitcoin Cash
- Ethereum Classic
While you may have heard of alternatives like Coin IRA, Bitcoin IRA is still the largest alternative asset platform out there and focuses heavily on security.
The company works with legitimate U.S. custodians to ensure cash is taken care of while in storage.
Bitcoin IRA Review: What Is Bitcoin IRA?
Bitcoin IRA is a self-directed full-service IRA for alternative investments.
Unlike traditional IRAs, the company enables investment into assets such as digital currencies and precious metals, which allows investors to set up cryptocurrency IRAs.
Even better, a crypto IRA can offer tax benefits that are available through traditional IRAs.
More on This Self-Directed IRA Company
Bitcoin IRA makes it easy to transfer money to its platform by taking on most of the work for you.
After transitioning funds into Bitcoin IRA, the company helps clients directly purchase cryptocurrency assets like Bitcoin, Ethereum, Ripple, Litecoin, and more.
So while it is a self-directed IRA, the company goes out of its way to ensure its users are supported.
Once accounts are ready to go, Bitcoin IRA has an easy-to-use trading platform for further investing in crypto by connecting clients to various coin exchanges.
Bitcoin IRA Review: How Does Bitcoin IRA Work?
Self-directed IRAs like Bitcoin IRA allow clients the flexibility to invest in assets like precious metals and cryptocurrency.
Bitcoin IRA is known for investing funds into cryptocurrency but otherwise functions similarly to a normal IRA.
Offering Much More than Other Bitcoin IRA Companies
With this service specifically, it’s simple to set up an account and choose how much cash you want to transfer.
Bitcoin IRA takes over from there and makes the arrangements, with the process typically taking between three and five days.
What Makes This Cryptocurrency IRA Different?
Using a Bitcoin IRA does have a few notable differences from traditional IRAs.
Bitcoin IRAs are required to bring on board a custodian, a business that keeps your money safe and provides a secure storage option.
The company also performs reviews of your retirement account to ensure it adheres to all federal guidelines.
These crypto retirement accounts are also linked up to crypto exchanges that handle any trade of Ethereum, Litecoin, Bitcoin Cash, or any other cryptocurrency you may have an interest in.
The Ultimate Guide to Crypto IRAs eBook Review
Available as a free download, this guide breaks down why Bitcoin can be a powerful investment tool.
It covers in detail the history of Bitcoin and how cryptocurrency is a safe long-term financial investment.
It explains how to use the currency to grow your retirement and why investing in these types of alternative assets is the way of the future.
Bitcoin IRA Review: What Does Bitcoin IRA Include?
In addition to being an IRA, Bitcoin IRA has some trading tools and an easy-to-use dashboard on their website to keep you connected to the happenings in your account.
Let’s take a look at the top features you have access to once you open an account.
Bitcoin IRA is rather unique as an IRA provider in that it also allows account holders to trade cryptocurrencies right from its proprietary trading platform.
This makes it possible to buy and sell digital currency (Bitcoin, Ethereum, Litecoin, etc.) at any time, day or night.
Trading can take place through either the website or the app and from any location.
The beautiful thing about IRAs is that they allow you to invest and save for retirement without worrying about taxes, including capital gains taxes.
A cryptocurrency IRA like Bitcoin IRA allows the creation of a traditional IRA or a Roth IRA account for your investments.
With any traditional IRA, earnings can grow tax-deferred until it comes time to withdraw them at retirement.
Roth IRAs contain money that’s been pre-taxed, so this money can be removed from a retirement account tax-free when the time comes.
Security Features: Offline Storage and More
At Bitcoin IRA, each IRA account has storage entirely offline in segregated cold storage accounts through Bitgo Trust, a qualified custodian based in the United States.
Each investment account held with Bitgo Trust is covered with up to a $100 million insurance policy to protect assets further.
Furthermore, the self-directed IRA platform is secured with a 256-bit encrypted SSL certification.
A digital wallet meets industry-leading standards for asset security, and Bitgo has received a robust SOC 2 Type 2 security certification.
Once you’ve created an account, the customizable dashboard becomes available.
Within this digital space, investors can access all pertinent account information.
The dashboard allows investors to add funds to their accounts, access live pricing, and start trading cryptocurrencies.
An investor can also check out Bitcoin IRA’s massive education database and view articles, infographics, and tutorial videos within the dashboard
Bitcoin IRA Cancellation Policy
Canceling your IRA account with Bitcoin IRA is a snap once you’ve transferred all your funds to a different retirement account.
There is a fee of $75 per asset when transferring out of Bitcoin IRA.
Once your account is empty, it’s as simple as sending an email to the company to close your account.
Bitcoin IRA Review: How Much Does Bitcoin IRA Cost?
While creating a Bitcoin IRA account is technically free, there are plenty of fees that users need to be aware of.
As soon as you fund your portfolio for the first time, you’ll receive an annual account fee of $240, and then you will be liable for a fee based on the amount of money in your initial investment.
Your initial investments must be $3000 at minimum.
The fee for that first investment up to $49,900 is 12.5% based on a 5-year hold.
For an initial investment of $50,000 to $99,900, the fee is 10%.
The fee for anything above $100,000 comes in at 7.5% of your investment amount.
While the custodian setup fee is free, a 0.05% digital wallet holding fee is charged monthly.
If you are looking at doing a transaction, fees for sell orders sit at 1% per transaction, and fees for buy orders on crypto are 5%.
As confusing as it might sound, Bitcoin IRA is Bitcoin IRA’s flagship service and is what most clients invest their cash into.
Setup on the website or app takes just a few minutes.
After which, investors can set up their portfolios.
As with any standard IRA, cash in the account is tax-deferred until it comes time to draw out at retirement.
An investor using Bitcoin IRA is simply investing in crypto assets instead of more traditional means.
Investors can trade cryptocurrency at any time and should take a more active approach in this type of IRA to optimize potential returns.
The value of funds in the IRA is directly linked to the value of the cryptocurrencies that you are invested in.
A 401 K is a deferred-income plan that companies sponsor for employees to allocate a portion of their paycheck to.
Many companies don’t yet support investing in cryptocurrency, and Bitcoin IRA doesn’t have a solo 401K plan as of yet.
However, it is possible to transfer funds from a 401K to a Bitcoin IRA account if you’re no longer employed at the business associated with the 401K.
IRA Earn gives investors the chance to lend their assets and make interest on their investment portfolio.
An IRA Earn account requires a minimum investment of $10,000 to start.
There’s no lockup period for an Earn IRA account, so it’s easy to start or stop at any time.
Cash investments see a colossal 6% interest rate, where Bitcoin and Ethereum see closer to a 2% interest rate.
Users get monthly payouts directly into the retirement account.
This amount depends on the value of the account’s investments.
The Saver IRA allows users with smaller portfolios to start with Bitcoin IRA.
This plan requires only a minimum investment of $100 to open.
But this plan also requires a minimum monthly contribution of $100 through a linked savings or checking account.
The preliminary investment and monthly deposits will be automatically invested in the cryptocurrencies you choose.
A Saver IRA sees all the tax benefits of the other plans that Bitcoin IRA offers.
Bitcoin IRA Review: Is Bitcoin IRA Legit?
Bitcoin IRA has been around since 2016 and is one of the first companies to purchase cryptocurrency, including Bitcoin, for purposes of setting up an IRA.
It is still the largest company for alternative digital assets with over 100,000 users and more than $500 million in transactions.
The company protects your investments with a $100 million insurance policy and uses U.S.-based Bitgo Trust as a custodian.
Also, Bitcoin IRA has added new cryptocurrency investment opportunities since its inception in 2016.
Bitcoin IRA Review: Pros and Cons
Bitcoin IRA appears to be a solid company with a lot going for it, but there are some drawbacks to the services.
Let’s take a look at the pros and cons.
Bitcoin IRA Pros
- Full-service self-directed IRA
- Fast and easy account setup process
- Simple way to start cryptocurrency investing
- Strong security measures with cold storage
- Similar tax reductions as a traditional or Roth IRA
- $100 million insurance policy for assets
- Has trading capability
- IRA Earn builds interest
- Allows clients to invest in big cryptocurrencies such as Bitcoin Cash and Ethereum Classic
Bitcoin IRA Cons
- Difficult to understand investment fees
- Storage fee
- $3000 minimum account balance for opening an account
- Somewhat limited in crypto options
Is Bitcoin IRA Right for Me?
If you’re interested in pursuing an alternative method of investing for retirement, Bitcoin IRA could be worth considering.
Because of the risk involved in cryptocurrency, an IRA with Bitcoin is best for someone who has a longer time to plan for retirement.
Unlike other IRAs and other individual retirement accounts, Bitcoin IRA requires a much more hands-on approach.
It’s beneficial to watch how currencies are moving and to buy or sell as needed to get the most out of your investments.
Taking a passive role in this IRA will minimize gains and effectiveness, so you should have a reasonable knowledge of personal finance and digital assets of this kind to make the most out of this service.
Bitcoin IRA Reviews by Members
Bitcoin IRA receives strong positive reviews on websites like Google, BirdEye Reviews, and ShopperApproved.
With upwards of a thousand reviews on each site, ratings are firmly in the 4.5 to 4.7 range out of a possible five stars.
Given its high rating, it’s no surprise that so many investors consider Bitcoin IRA to be the best Bitcoin IRA company.
Here are just a few of the comments Bitcoin IRA has received as of late:
Bitcoin IRA has a very easy-to-understand and navigate website. There are instructional videos on every topic that you can view and learn more about their services. A helpful representative called the next day to see if I had any questions and was helpful. If you are interested in having Bitcoin as part of your retirement portfolio you should consider using Bitcoin IRA. – Joe, on Google
Process was very easy and self-explanatory. If you did have a question someone reaches out to you in less than 24 hours to ensure all your questions and needs have been met. – Carolin, on Google
Final Review: Is Bitcoin IRA Worth It?
Bitcoin IRA seems to be good at what it does, providing IRA investment opportunities in the crypto world.
With a $100 million insurance policy and a strong custodian in Bitgo Trust, you can rest assured that your money is in safe hands.
In addition to a secure system, Bitcoin IRA has strong phone and email support if you ever need help.
Should You Try Out This Cryptocurrency IRA?
If you can wrap your head around the fees that come with Bitcoin IRA and have the time to work with your investments and help them grow, then Bitcoin IRA may be worth the investment.
The high volatility of cryptocurrency matched with the tax advantages of an IRA could lead to returns that would be almost unobtainable with traditional retirement accounts — especially retirement investments in physical gold.
If that is something that interests you, then check out Bitcoin IRA today!