Self-Directed IRA Cryptocurrency

What is the Best Self-Directed IRA for Cryptocurrency?

You may have heard that cryptocurrency—one of the major financial stories of the last decade—is now taxed much like a stock. While many people wonder what this means for the future of cryptocurrency, it also means that Cryptocurrency has become a viable asset for investors to hold within a Self-Directed IRA. With a Self-Directed IRA, investors can open their investment portfolio to a wide range of assets, from real estate to precious metals—and yes, cryptocurrencies.

The question is: how is it done, and what is the best Self-Directed IRA for crypto? To properly answer that question, we’ll have to steer you through the process of Cryptocurrency investing within an IRA.

What is a Self-Directed IRA?

A Self-Directed IRA is a simple arrangement wherein the investor takes hold of their financial decisions with a retirement account. They work through a custodian, also known as an administrator, who helps ensure that the retirement account is held separate from the original investor’s private holdings. This is key, because retirement assets have to remain separate from personal holdings in order to retain their tax-advantaged status. Failure to do so could mean paying penalties and taxes that wipe out any of the benefits the investor was aiming for.

Due to this arrangement, an investor can then use a Self-Directed IRA to explore the full gamut of retirement assets available to them. For instance, an investor can invest in real estate within a Self-Directed IRA. An investor can also turn to private company stock or tax liens, even precious metals. And that leads us to the subject of this post: the Self-Directed IRA for cryptocurrencies.

What is the Best Self-Directed IRA for Crypto?

This is the wrong question to ask. The better question is: what is the best Self-Directed IRA for your purposes? There is no “Crypto IRA,” at least not according to the rules of retirement investing. This is merely a nickname for a Self-Directed IRA in which an investor arranges to place some investments in cryptocurrencies. Viewed from this angle, the best Self-Directed IRA for crypto is the one you talk over with your accountant and financial advisor, to make sure that you’re making the right decision for your financial future.

Once you know what kind of account you want to open up, the next step is to reach out to a Self-Directed IRA administration firm that can serve as the custodian on the account. You can then inform them of the cryptocurrency investments you want to make. These Cryptocurrency assets can stay within the retirement account for years, enjoying the tax-advantaged status that comes with them. As long as you do everything through the proper channels, you can easily incorporate cryptocurrencies into your retirement account.

Why a Self-Directed IRA?

Investors turn to Self-Directed IRAs often because they’re interested in a particular asset class, such as cryptocurrencies. However, investors might have other assets in mind. Real estate is a common one, because it’s such a reliable way for investors to create income through retirement. Gold and other precious metals are also common, as investors seek ways to create stability that comes with holding multiple types of asset classes.

But American IRA is not a financial advisor. We are instead a Self-Directed IRA administration firm, and our job is to educate investors about IRAs and help them by serving as custodian on the account. With our flat-rate fees, you’ll be able to grow an account like that making your own decisions—according to a financial plan of your own design.

Interested in learning more about Self-Directed IRAs?  Contact American IRA, LLC at 866-7500-IRA (472) for a free consultation.  Download our free guides or visit us online at

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