There’s no better time than the present, to start thinking about how you plan to pay for your retirement. If you’re concerned that you’re only earning 1-2% interest from your long-term savings account, you may be interested in finding more profitable investment opportunities. If so, you may be interested in investing spare funds into a Cryptocurrency IRA account.
The term IRA stands for individual retirement account and refers to a form of retirement account, which offers a wide variety of financial benefits, such as tax breaks. Contrary to popular belief, while many individuals choose to save cash in IRA accounts, you can also store stocks such as cryptocurrency stocks in an IRA account.
What are cryptocurrencies and why are they worth investing in?
Cryptocurrencies are also known as digital currencies and refer to alternative forms of electronic currency. Examples of which include Bitcoin, Ethereum, Zcash, Dash, Ripple, and Monero. The most popular of which is Bitcoin, which has taken the world by storm over the past year. Unlike traditional currencies which are usually kept in bank accounts and are tracked by governments and financial institutions, cryptocurrencies are stored online and offer individuals an anonymous way to manage their funds. In recent years the share prices of all of the world’s major cryptocurrencies have soared, which proves that digital currencies are the future of global currencies.
So if you’re looking for an investment opportunity, which will give you a genuine chance to double, or triple your initial investment or better, it’s well worth investing in cryptocurrencies.
What are some of the benefits of investing money in a cryptocurrency IRA account?
If you choose to invest in a cryptocurrency such as Bitcoin, Ethereum or Dash and plan on storing your investments in an IRA account, you’ll receive a tax break in order to invest in your chosen cryptocurrency. As an incentive to invest in your retirement. However, keep in mind that you will be liable to pay tax on the profits which your investment makes when you finally choose to withdraw funds from your IRA account. If you can afford to pay tax when you purchase your cryptocurrency shares, you may want to opt to open a Roth style IRA account, which doesn’t offer any tax breaks to purchase shares but which allows you to keep all of your profits, when you choose to withdraw your money from your Roth IRA account. However, if you’d appreciate a tax break, in order to start investing in your future, you may be happy to open a regular IRA account!
How does one go about investing in a cryptocurrency IRA account?
Most investors choose to use an intermediary firm to manage their IRA account. Should you choose this particular route, your first step will be to choose a firm and to fill out an IRA application. After which, you’ll be able to purchase your choice of cryptocurrencies.
So if you’re looking for a great investment opportunity to provide for your financial future, it’s well worth investing in an IRA cryptocurrency account.