Crypto IRAs bring the benefits of both worlds to an investor, i.e., traditional investment instruments and digital assets. It is one of the best options to consider today to plan your retirement funds for a financially healthy future. This article discusses the best crypto IRAs one can invest in, in 2022.
Cryptocurrencies are an exciting and emerging asset and investment class that has the potential to generate high returns and are quickly gaining popularity. It has many applications and products in the financial world, and the crypto-based IRA (Individual Retirement Account) is one among them. As in any financial application, cryptocurrencies have their benefits and risks. Nevertheless, if you are informed enough and have a realistic plan for the future, various options are available for investing in crypto through an IRA. Below is a review of the five best crypto IRAs available in 2022, their pros and cons, and characteristic features.
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What is a Crypto IRA?
A Crypto IRA is the crypto counterpart of the regular IRA in fiat currencies. It is a specific retirement account that allows you to invest in cryptocurrencies. A crypto IRA can offer investors the ability to diversify their retirement portfolios and earn potentially higher returns. You will not have to go through the hassle of setting up a traditional IRA and get all the benefits of cryptocurrencies. However, you must consider a few things before investing in a crypto IRA, such as the risks and potential benefits.
The 5 Best Crypto IRAs to Invest in, in 2022
Here is a list of the best five cryptocurrency IRAs currently available. It includes helpful information on features like security, customer support, fees, number of cryptocurrencies supported, returns, and other benefits and risks of the crypto IRAs.
Bitcoin IRA is a retirement account provider that allows you to hold or invest in Bitcoin and other digital currencies. It started in 2016 and currently provides high-security features besides giving you more control over your retirement investments to choose which assets to invest in. With a traditional IRA, you are limited to investing in stocks, bonds, and mutual funds. However, you can invest in a broader range of assets with a self-directed IRA. Though the minimum opening investment is $3,000, you can also start with $100 using a recurring investment option.
Why should you choose Bitcoin IRA?
Bitcoin IRA offers high-security features, including $700 million in insurance coverage for digital assets and 256-bit SSL encryption-based trading. Bitcoin IRA accounts are self-directed, which means investors have complete control over their accounts and can make investment decisions without the approval of a financial advisor. A Bitcoin IRA account is also easy to set up and manage and allows 24/7 real-time trading facilities.
Supported Cryptos: Bitcoin IRA supports more than 60 cryptos, including the following:
- Bitcoin (BTC)
- Ethereum (ETH)
- Ethereum Classic (ETC)
- Litecoin (LTC)
- Bitcoin Cash (BCH)
The pros and cons of the platform include:
| Pros | Cons |
| Interest on your cash and coinsFacility to self-trade 24/760+ cryptos | No SEP (Simplified Employee Pension) IRA Higher fees than some competitors |
Cons:
iTrustCapital is an online investment platform that started in 2018 and allows users to invest in various assets, including cryptocurrencies and physical gold, with their retirement funds. The platform is user-friendly for novice and expert investors and allows them to track their investments and receive real-time market data. Moreover, it has some of the lowest fees and minimum investment amount possible for crypto IRAs in the market.
Why should you choose iTrustCapital?
If you’re looking for a trusted and reliable platform to invest in digital assets with your retirement funds, iTrustCapital is a reliable choice. It is counted among the most user-friendly platforms in the industry, making it easy for anyone to invest in cryptocurrency. It does not charge a broker fee, initial fee, or monthly fee. You can start the account with $1,000, and the charge per transaction is only 1%. ITrustCapital helps you maximize your profits with less effort with its competitive rates.
Supported Cryptos: iTrustCapital supports more than 28 cryptocurrencies, including:
- Bitcoin
- Ethereum
- Litecoin
- Ripple
- Stellar
- Bitcoin Cash
- Cardano
- Polkadot
- UniSwap
- Sushi
- Compound
- Chainlink
- Polygon
- EOS
The pros and cons of the platform are:
| Pros | Cons |
| You can trade with a minimum of $30 Complete control over your investment Invest in multiple cryptocurrencies | Subject to the volatility of the market You may not be able to cash out your investment immediately Must pay taxes on any gains |
BitIRA has been a digital currency IRA provider since 2017 that enables investors to hold cryptocurrencies in retirement accounts. It boasts of being one of the crypto IRA brands with the highest security features. The provider offers a range of retirement investment products, including traditional IRAs, Roth IRAs, and SEP IRAs. BitIRA provides a self-directed IRA option. However, you have the options of only eight cryptocurrency types for investments, including Bitcoin, Ethereum, Ripple, and Litecoin.
Why should you choose BitIRA?
There are many reasons to choose BitIRA as your provider of choice for cryptocurrency IRA investments. It is one of the top crypto IRA providers with the highest security features. Its insurance coverage for digital assets is unlimited, dollar-for-dollar, besides an extra $1million in consumer protection coverage against internal fraud or theft. Other security features include multi- encryption encoding for transactions and offline cold storage of digital assets. Finally, BitIRA offers industry-leading customer service, with a team of experts available to answer any questions you may have about investing in cryptocurrencies.
Supported Cryptos:
- Bitcoin
- Bitcoin Cash
- Ethereum
- Ethereum Classic
- Litecoin
- Bitcoin Sv
- Zcash
- Stellar Lumens
Its pros and cons are:
| Pros | Cons |
| Various wallet options are availableDigital assets stored in secure offline storageCrypto IRA consultant available | The minimum amount to start the account is $5,000 |
A Coin IRA is a retirement account provider that started in 2017 as an offshoot of Goldco, a traditional IRA provider. It has low fees and offers the best customer experience, especially to new investors. It guides new customers with comprehensive, helpful information and provides a cryptocurrency retirement expert’s help. Though the initial investment amount is high, it offers a low amount option of $3,500 on converting a traditional IRA account to a crypto IRA.
Why should you choose CoinIRA?
There are many benefits of choosing CoinIRA over other cryptocurrency IRA companies. CoinIRA has a team of experts that can help you with every step of the process to guarantee 100% satisfaction. CoinIRA is one of the best bets for those looking for a reliable and experienced provider to help them invest in a crypto IRA.
Supported Cryptos: Various cryptocurrencies supported include:
- Bitcoin
- Ethereum
- Ethereum Classic
- Chainlink
- Dash
The pros and cons of the platform are:
| Pros | Cons |
| Own storage walletConsultants availableLow fees | Minimum of $20,000 account requirement |
Broad Financial is another leading provider of retirement solutions for small businesses and self-employed individuals. It is not suitable for new investors as there is not much guidance. However, Broad Financial is a self-directed option, and there is no need for a middleman or third party to be involved, giving you more flexibility and freedom. Besides crypto, it also offers a wide range of investment options, including stocks, bonds, and mutual funds.
Why should you choose Broad Financial?
Broad Financial is one of the best options for a self-directed crypto IRA. There is no third party, and you get all the freedom. Also, it has a checkbook system, which means you don’t need to rely on an administrator to make any transaction or purchase.
Supported Cryptos: Since Checkbook IRAs are available, you can invest in any cryptocurrency.
It comes with the following pros and cons:
| Pros | Cons |
| No minimum investment amountCheckbook IRAs provided Self-directed; no third-party involved | Low guidance levelLess friendly for new users |
Final Words
Cryptocurrency IRAs are an excellent way to invest in digital assets for the long term. However, when there are many options for crypto IRAs, it is natural to get confused about which one to choose. Every provider has a few distinct features suitable for some investors while not so helpful to others. Some may be strong in security, while others have lower fees. Yet, some other providers’ USPs could be user-friendliness and extensive guidance to new investors.
Do your research on the best crypto IRA providers of 2022, like the ones mentioned above, study their characteristics, and choose the one with the features that help you the most based on your preferences, requirements, and profile. With any of the above providers, you’ll be able to start investing in digital currency and reap the benefits of both IRA accounts and cryptocurrencies.
References
- Financial Express. (2022, March 3). The Best Bitcoin and cryptocurrency IRA Companies in 2022.
- Kurko, M. (2022, May 5). Best Bitcoin IRA Companies. Investopedia. https://www.investopedia.com/best-bitcoin-ira-companies-5115296
- News 5 Cleveland. Best bitcoin IRA companies, top 7 crypto IRA reviews in 2022.
- Foltz, H. (2022, April 28). 5 Best Crypto IRAs: What are they? How do they work? TokenTax.