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  • CoinIRA Review- How It Works With Bitcoin IRA And Its Advantages
Tom
March 7, 2018

​Created by a company called Goldco, CoinIRA is a system that uses blockchain technology and lets you put cryptocurrencies into your investment portfolio or for your retirement funds.

The really nice thing is that you can actually take your existing 401(k) or IRA and you can turn it into an exclusively Bitcoin IRA. That means you can switch whatever you’re currently doing entirely over to a digital currency.

It’s a great option and one that you’re going to want to research a little better, right? Well, this CoinIRA Review is definitely going to help you understand what you’re getting and why you want it.

Understanding Goldco

You don’t want to invest with cryptocurrency in any kind of company without knowing who’s in charge of it, right? Well, that’s why you should know a little more about Goldco, the company that operates CoinIRA.

This company is based in Woodland Hills, California and they first came on the scene nearly a decade ago. Already a major party in the retirement services market within the United States, they were well known for gold and silver investments and individual retirement accounts (IRAs). These markets are still out there, and the company is still growing, but they’re also delving into a whole lot more.

Goldco first jumped into Bitcoin in 2017, when they launched CoinIRA, which means they haven’t been in the business long, but they still have a whole lot to offer, so it’s something you’ll want to take a look at if you’re even considering getting involved with Bitcoin for yourself and your individual retirement account.

There are plenty of different products you can start investing, but you’ll definitely be surprised just what Bitcoin has been doing and how it can really affect you and your plans for retirement.

How Does it Work?

At this point, CoinIRA only uses Bitcoin IRA, which means you can’t invest in other versions of cryptocurrency, but they’re looking to get started in a range of different areas.

The way the IRA works is actually just like what you would expect. You can put your contributions directly in the retirement account and they are tax-advantaged, just like your regular self-directed IRA.

The IRS even recognizes this type of account, though at this point they consider Bitcoin to be a property rather than currency. Still, it’s an asset and it can be used just like any other asset.

You have the same rules and regulations about the IRA (based on the specific type you opt for). For example, if you take any money from the account before you hit 59 ½ you’ll incur a 10% penalty. If you didn’t pay income tax when you made a contribution you’ll have to pay the taxes when you take it out; likewise, if you did pay the taxes when you put it in you won’t be taxed when you take it out.

Basically, you can assume that if you would have to (or not have to) do something with a regular account the same applies to a CoinIRA.

The Advantages for You

CoinIRA Review

So, what exactly are you getting that makes it worth turning your current IRA into a cryptocurrency fund? Well, there are actually several different options.

For one thing, you’re getting a completely different type of currency that has absolutely nothing to do with other currencies around the world. That means, if the value of the U.S. dollar goes down, it’s not going to affect your investment. Bitcoin can definitely weather that type of storm.

You’re also getting something entirely secure because there are no third-party vendors or associates handling your money. Instead, you put everything into a secured digital wallet and then you are the one that gets access to it. You don’t have to worry about other people getting their hands into it and running the risk of problems because of it.

You’ll have low fees associated with the investment process. Rather than the high rates that you probably pay now for every transaction that you want to engage in, you’re going to pay a whole lot less with Bitcoin transactions, which is an added bonus for you.

Finally, you’re getting some pretty great returns on investment. Since it first started, Bitcoin has actually been able to make some really great returns for those who have invested. While there’s no guarantee what will happen in the next ten years or even the next one, you’ll definitely be able to see some good returns based on what you’re putting in.

With any of these advantages, it’s going to mean more for you, whether that’s more security, more money, or just the freedom of more time from not having to do all of your own investing and trading. You’ll have something that’s securely stored and keeps your money growing for you, for as long as you want.

Wrapping it Up

So, should you be investing in CoinIRA? Well, there’s a lot to consider.

First, the company is relatively new. Even though the parent company has been around for a while, as a company itself, CoinIRA is a very new option. Still, that doesn’t mean that there’s anything inherently wrong with that.

You’re getting the investment experience that the parent company has to offer, including their knowledge and their team of employees, which is a great bonus. You’re also still getting all of the benefits that are associated with any other IRA, you’re just doing it in a different format. You’ll definitely have some extra benefits as well because of some of the added security involved.

In the end, only you can decide whether this company (or any other) is the right one for you and your investments.

It’s difficult to say what will happen to the market or to this specific way of investing either, but you’re definitely going to have something completely new and unique and there are plenty of features that will help you feel more secure about your investment. Just make sure you look at the different options and choose a system that’s going to work for you and whatever it is that you’re looking for.

About the author 

Tom

Tom is a former accountant turned entrepreneur. He is not a financial adviser but does tend to give a lot of financial advice to his friends and colleagues. He currently runs a small online venture and blogs about his research and experiences.

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