While Bitcoin receives most of the media attention around cryptocurrencies, it isn't the only option when it comes to trading crypto or even in investing in your own retirement account.
If you've been interested in adding a cryptocurrency allocation to diversify your retirement portfolio, you'll be pleased to learn that the top IRA custodians now have multiple crypto options available. In addition to Bitcoin, you can also allocate a percentage of your account to other top tokens such as Bitcoin Cash.
Improving Bitcoin with Bitcoin Cash
If you’ve already gotten involved with Bitcoin or are want to invest in cryptocurrency and blockchain technology in another way, you’ve probably noticed that transaction times are a big problem.
The original Bitcoin system can only process up to seven transactions in a second and it can take up to ten minutes to get one transaction all the way through - which is where Bitcoin Cash came in.
Of course, if you’re looking to invest in digital currency, you want transactions to happen quickly, but you’re also going to want more than just Bitcoin Cash, you’re going to want to add Bitcoin Cash IRA for your portfolio.
Bitcoin already had a number of great features and the people who created it already knew that.
That’s why they wanted to create a new version of it while not scrapping the original concept.
Instead, they decided to build on the framework of what they already had and created something that improved the already good things and helped with some of the not so good ones. The branching off of Bitcoin (BTC) in August 2017, known as a "fork," led to the creation of Bitcoin Cash (BCH) which solved the slow speed of transfers.
Now, you can invest in Bitcoin or in Bitcoin Cash for any purpose that you want and that includes being able to use the funds that you have for investment purposes (such as an IRA). You’ll be able to take a look at different benefits and drawbacks of both Bitcoin and Bitcoin Cash right here, so you can decide what the best option is for your investment process.
Understanding Bitcoin Cash
At this point, Bitcoin Cash is still a relatively new and undiscovered option for investment. That means it’s not quite as highly valued as the original version, but it is definitely growing in popularity and it’s continuing to improve.
Bitcoin itself is valued somewhere around ten thousand dollars, while Bitcoin Cash is still working its way up the chain. Still, it’s expected to do some great things, especially as the blockchain technology that it uses is so much more advanced and quick than the traditional form. There’s no telling what that could do for the currency.
Investing in Bitcoin
If you decide to invest in Bitcoin using your existing 401(k) or other retirement account you’ll find that it has a lot of great options for your future. That’s because Bitcoin (and Bitcoin Cash) is a newer investment option that actually still allows you all of the same benefits you’ll find with traditional individual retirement accounts (IRAs).
Put simply, you are looking at opening a self-directed IRA which gives you more control.
A Bitcoin IRA is the first step to consider. Next, you’ll want to look at why including Bitcoin Cash is actually going to be one of the best options in terms of self-directed IRAs.
Bitcoin Cash IRA for Your Retirement
Buying Bitcoin and Bitcoin Cash is actually really simple. You can buy them at a number of different authorized locations and online exchanges. What that means is, it’s super simple to start the investment process and because the process happens so quickly, you’re not going to have to worry about it either.
You just purchase the units and you’ll be ready to go, just like that. You can even convert current IRA accounts into digital currency so that you can keep everything together in the same place. It’s definitely a great benefit and a simple process.
Before you look to invest in cryptocurrency solely through Bitcoin, make sure you’re looking at all the different IRA options (including Bitcoin Cash) to ensure you don't miss out on the growth of other currencies as well.
Learn more about the specifics of investing in crypto with your 401(k) or IRA today with our free guide below to get started today...