Crypto IRAs – Are They For You?

Crypto IRA (source:irafinancialgroup.com)

With extensive experience as an electrical/software/coding engineer along with having a diverse financial background, Thomas Wettermann’s areas of interest include Machine Learning (ML), artificial intelligence (AI), and Financial Technology (FinTech). For the past few years, Thomas Wettermann has focused on the underlying technologies that support and promote all phases of cryptocurrency, Web 3.0, and metaverse ecosystems.

What Types of Crypto Can you Hold in an IRA?

A crypto IRA can be structured to hold a single type of cryptocurrency, such as Bitcoin, Ethereum, or Solana. However, if you want to further diversify your IRA crypto holdings, you might consider holding a collection of different types of cryptocurrencies. Aside from just holding cryptocurrencies, you may want to consider holding one or more crypto-based Exchange-Traded Fund’s (ETF) that provides you with exposure to one or more different cryptocurrencies.

How Does a Crypto IRA Work?

A self-directed crypto IRA includes complex rules and presents certain risks. Such rules include prohibiting certain types of transactions along with how the assets can be used while they are held in the SDIRA. Moreover, the IRS requires custodians or trustees to hold the account for you. Therefore, it is always best to fully investigate your options and your requirements before opening an SDIRA. As they say in the crypto, DYOR.

All the views expressed on this site are those of Thomas Wettermann and do not represent the opinions of any entity with which Thomas Wettermann has been, is currently, or will be affiliated.

Trading digital financial assets such as cryptocurrencies can carry a high level of risk, and may not be suitable for all investors. Before deciding to invest, purchase, and/or trade cryptocurrency you should carefully consider your investment objectives, level of experience, adversity to risk, and volatilities. The possibility exists that you may sustain a loss of some or all of your initial investment; therefore, you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with cryptocurrency trading, and seek advice from a qualified and independent financial advisor.

Thomas Wettermann is not an independent financial advisor. Any opinions, news, research, analyses, prices, or other information contained on this website is provided as a general market commentary of Thomas Wettermann and does not constitute investment advice. Thomas Wettermann will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. All opinions expressed on this site are owned by Thomas Wettermann and should never be considered as advice in any form.