In 2014, the Internal Revenue Service (IRS) officially declared that Bitcoin and other cryptocurrencies would henceforth be treated as property for tax purposes. Therefore, cryptocurrency was now an eligible asset that could be held in IRA accounts. A Bitcoin IRA lets individuals invest in cryptocurrencies on a tax-deferred basis. Here are the top 5 Bitcoin IRA companies.
Founded in 2009 by entrepreneur and investor, Tyler Gallagher, Regal Assets is one of the most reputable and esteemed IRA custodians in the industry. The company specializes in assisting investors to add precious metals and cryptos to their IRAs and investment portfolios.
Regal Assets was the first company in the industry to receive a crypto-commodity trading license and in addition to Bitcoin, is able to support any tradable crypto. The process is seamless in 4 easy steps.
- Users set up a free account by filling out the company’s Bitcoin IRA Form (international users are also welcome).
- The account will be set up within 24 hours.
- Users then fund the account.
- Then the company loads the wallet and puts it in Cold Storage.
In the decade that Regal Assets has been in the industry, it has accumulated an impressive list of accolades and become the highest-rated alternative assets firm in the United States. It boasts an A+ rating from the Better Business Bureau (BBB) and other consumer advocate organizations including TrustLink and The Business Consumer Alliance (BCA). In 2013 Regal Assets was ranked #20 in the financial services category of Inc Magazine’s famous Inc 500. Additionally, the company has been featured in the likes of Forbes, Reuters, The Huffington Post, and Bloomberg.
BitcoinIRA.com was the first full-service company to offer cryptocurrencies in an IRA. Launched in 2016 as the original Bitcoin IRA provider, the company has gone on to receive widespread plaudits and media acclaim from the likes of Forbes and CNBC.
In addition to being the first company to offer crypto in IRAs, BitcoinIRA.com is also the only crypto IRA self-trading platform on Earth – thus, users are able to self-trade anywhere, at anytime. The company also has world-class security measures, boasting an exclusive relationship with BitGo, with its multi-signature cold-storage wallets and completely offline cold storage. Likewise, BitcoinIRA.com also offers $100 million custody insurance from BitGo Trust, which is the world’s largest processor of on-chain transactions.
Now, the company helps users invest not only in Bitcoin, but also Bitcoin Cash, Ethereum, Ethereum Classic, Ripple, and Litecoin into a Traditional, Rollover, or Roth IRA. As per IRS regulations, purchasing a Bitcoin-based IRA must be done with US dollars – they do not permit investing existing Bitcoin (or other cryptocurrencies) that a user may own into an IRA. The company guides users through the processing steps, including completing the IRA application, transferring funds from an IRA or 401k, purchasing cryptocurrency, and accessing the cold storage wallet.
BitIRA prides itself on being the first Bitcoin IRA company offering the world’s first insured cold storage solution, with end-to-end insurance. The company helps users set up accounts through its partner, Preferred Trust Company (the custodian of the IRA) which charges a $50 activation fee. In addition, there are annual custodian fees of $300 to $1,000 a year depending on the balance of the account and specific needs. Preferred Trust Company, which is a licensed custodian, can hold cryptocurrency among other assets. This means that through a self-directed IRA, the custodian can take custody of assets usually associated with traditional IRAs, such as stocks, bonds, mutual funds, precious metals, amongst others.
Users can open a variety of Bitcoin retirement accounts with the platform, including a Traditional IRA, Simple IRA, Bitcoin Simplified Employee Pension (SEP) IRA, and a Bitcoin Roth IRA. With regards to a Bitcoin SEP IRA, employers are able to contribute towards employees’ and their own retirement accounts. Apropos of a Bitcoin Roth IRA, taxes are paid upfront with every contribute, making any investment gains tax-free in the future.
In addition to Bitcoin, the company also offers Bitcoin cash, Etereum, Ethereum Classic, Ripple, Litecoin, Zcash, and stellar. Cryptocurrency is stored offline in multi-signature wallets, with each key held in different physical locations. BitIRA is also registered with the United States government, and therefore is subject to its stringent regulations.
BitIRA has also partnered with several cryptocurrency exchanges to allow its users asset variety, or change from crypto to fiat currencies.
Launched in 2016, Noble Bitcoin is a cryptocurrency IRA custodian that allows users to purchase the main four cryptos (Bitcoin, Ethereum, Ripple, and Litecoin). The company is the crypto division of Noble Gold Investments, an investment product firm specializing in helping investors add precious metals to their retirement savings accounts. The parent company has a proven track record of over a quarter of a century providing retirement savings account products. Noble Bitcoin prides itself on its customer-first approach, being available through the entire process of rolling over an IRA and also continuing on as broker for continued support.
With an emphasis on quick set-up, Noble Bitcoin boasts that it takes 5 minutes for the application process. Once a Bitcoin IRA account has been created, the company then lets users put cryptocurrency into the IRA. Users also have the option to roll over a portion of the cash in the cryptocurrency IRA. There are several types of retirement savings accounts, including a 401k, Traditional, 403b, 457b, Roth, TSP, SEP, SIMPLE IRA, or TSA IRA.
Cryptocurrency is stored in cold storage in the IDS-Texas depository. Noble Bitcoin describes said facility as high tech, ultra-secure, and is the same location where the parent company stores its precious metals for clients.
Established in 2004, Broad Financial is a respected financial services company that specializes in self-directed IRAs and solo 401(k)s. in 2017, the company launched its cryptocurrency IRA offering, which allows customers to put Bitcoin and other cryptocurrencies into tax-deferred retirement funds (or tax-free retirement funds for those who select a Bitcoin Roth IRA).
Broad Financial charges a set-up fee of $1395, in addition to a one-time $100 custodian fee, and an annual custodian fee of $200. Customers can Easily rollover funds from their choice of IRA plan or retirement accounts such as a Roth IRA, 401(k), SEP IRA etc. Because Broad Financial is not a broker, it has no minimum and supports any cryptocurrency.
In order to get started, Broad Financial prefers the conventional over-the-phone method, insisting that potential customers call. Personal information is then taken over the phone, or the company will send a one-page application form that must be filled out. The company does have an excellent reputation for customer service, and an A+ rating from the Better Business Bureau.
As with any investment, it is strongly recommended that one does online research online before choosing a company to invest with. Always do your due diligence, and keep your cryptocurrency safe and secure from scammers.