Top 3 Step Guide Used To Buy Cryptocurrency

Top 3 Step Guide Used To Buy Cryptocurrency

3 Step Guide to Use a Solo 401(k) Plan to Buy Cryptocurrency

Something puzzling your mind? Or maybe a new term for you all ? Pondering on what

fascinating it has to bring for you ?

In this article, we will talk about something very interesting, which will capture all our attention.

So without further adieu, let us get started ! Buy Cryptocurrency

Firstly, many of us are still unaware about Cryptocurrency, so I request all my readers to go

through my previous work and get an insight into the Crypto Ecosystem. Buy Cryptocurrency3 Step Guide to Use a Solo 401(k) Plan to Buy Cryptocurrency


Solo 401(k) Plan( also called IRA)

Now, what is a Solo 401(k) Plan ? Do we know that ? If we do, great! If we don’t, then read


further with me to find out about it-

A solo 401(k) is an individual 401(k) designed for a business owner with no employees. In fact,


IRS rules say you can’t contribute to a solo 401(k) if you have full-time employees, though you

can use the plan to cover both you and your spouse. Buy Cryptocurrency


Some key points are-

● The self-directed IRA or solo 401(k) plan gives the investor control over buy and sell

decisions.

● It permits alternative investments in assets like precious metals and cryptocurrencies

that are not normally found in IRAs.

● The self-directed IRA requires a high level of confidence and a considerable investment

of time and attention.


Now let us learn how a self directed IRA OR 401(k) plan works and the 3-step guide to buy

crypto currency from it. I will be talking about how to use a Solo 401(k) plan to buy

Cryptocurrencies, Bitcoin in specific; in the latter part of the article. Buy Cryptocurrency

Something puzzling your mind? Or maybe a new term for you all ? Pondering on what

fascinating it has to bring for you ?

In this article, we will talk about something very interesting, which will capture all our attention.

So without further adieu, let us get started ! Buy Cryptocurrency

Firstly, many of us are still unaware about Cryptocurrency, so I request all my readers to go

through my previous work and get an insight into the Crypto Ecosystem. Buy Cryptocurrency

How does a self- directed IRA or 401(k) Plan work?

Self-directed IRAs are held by a custodian chosen by the investor, typically a brokerage or

investment firm. This custodian holds the IRA assets and executes the purchase or sale of

investments on the investor’s behalf. Buy Cryptocurrency

IRAs are not limited to stocks, mutual funds and other Wall Street-centric asset classes. In fact,

the only asset classes explicitly prohibited by law for purchase in an IRA are life insurance and

collectibles. Buy Cryptocurrency

Cryptocurrencies like Bitcoin, which is the most popular and accessible one, are neither of

those. As such, it’s broadly accepted that Bitcoin is not prohibited from purchase in an IRA. Buy Cryptocurrency

But, the lack of an IRS prohibition and an explicit IRS endorsement of Bitcoin are not the same.

Because of that, some of the newer “Bitcoin IRA” types of companies use deceptive marketing

that directly states or strongly implies that the IRS has approved the investments they offer. But

these claims are entirely false and fraudulent, according to the IRS. Buy Cryptocurrency

Making an investment in bitcoin (one of more than 1,600 cryptocurrencies) has a number of

benefits for your retirement that standard asset classes can’t match.By investing your 401(k)

savings into bitcoin (which can be achieved by converting your retirement plan into a

self-directed IRA), you gain a huge amount of freedom of choice. That’s because you’ll be able

to select from more options for your retirement plan than the conventional investment choices

that are usually available in the market. Buy Cryptocurrency

But there are also a number of other details to consider before deciding to roll over your 401(k)

into a Bitcoin IRA. Buy Cryptocurrency

So, you should fully understand everything there is to know about this unique opportunity before

making a decision.

Some reasons more people are investing 401(k) savings in Bitcoin-

● You can protect part of your retirement savings from inflation- Some digital

currencies (including bitcoin) have a hard limit on how many tokens are available. All

cryptocurrencies become harder to get as supply increases. This is called adaptive

scaling. Unlike easy-to-get fiat money that is printed on demand, a Bitcoin IRA allows

you to hedge your savings against inflation. Buy Cryptocurrency

● You can further diversify your retirement plan by rolling part of it into a Bitcoin

IRA- As you probably know, when it comes to investments, you should never put all of

your eggs in one basket. By leveraging this new asset class, you can expand and

protect your retirement investments. Buy Cryptocurrency

● Get in on the ground floor of “the next big thing,” a major disruption of the central

banking system- Bitcoin and other cryptocurrencies represent one of the most

innovative ideas of the 21st century. You still have time to reap the investment

advantages and potentially gain wealth. Buy Cryptocurrency

// Two important factors you must consider-

1. Buy Bitcoin with Standard IRA or Your 401(k) Savings (if allowed)

In as little as a few days from now, you can convert your 401(k) savings to buy bitcoin. But most

401(k) programs don’t allow the direct purchase of digital currency. So the easiest and quickest

way to get the benefits we’ve listed above is to use a self-directed Digital IRA. Buy Cryptocurrency

“Self-directed” means you’re in charge. While that may sound challenging, it’s really simple.

Plus, you get to maintain complete control of your investments. On top of that, IRS guidelines

allow these sorts of IRAs to invest in a complete assortment of different assets, including bitcoin.

They can include gold, silver, real estate, private equity, and more.

2. Ensure that you follow the General Thumb Rule-

The general rule of thumb is that you established your 401(k) as a full-time employee from a

previous employer, or you are more than 59.5 years old. Other eligibility requirements can vary,

depending on the type of retirement plan you have, such as a Roth IRA, 403(b), 457 and Thrift

Savings Plan (TSP).

Please note, the rules dictating eligibility to move a 401(k) to an IRA aren’t always crystal clear

and can vary from person to person. If you are confused or unsure of your own eligibility, please

contact BitIRA today for a complimentary consultation.

// The Three simple steps to convert your 401(k) savings into Cryptocurrencies, like

Bitcoin-

1. Establish a self directed Digital IRA-

To start the process of transferring your 401(k) savings to a bitcoin-based retirement plan,

before you establish a wallet for your IRA, contact your self-directed IRA custodian to determine

their preferred strategy. Some custodians will allow you to establish a wallet directly in the name

of your IRA. Others will require you to take the intermediary step of establishing a limited liability

company (LLC) within your IRA to hold your Bitcoin wallet.

2. Fund your account-

The final step before actually investing your capital into Bitcoin is to fund your Bitcoin wallet

using capital from your IRA — and only from your IRA.

Your IRA’s Bitcoin wallet (whether owned directly or through an LLC) must be for the exclusive

benefit of your IRA. Similarly, all investment capital placed in your IRA’s Bitcoin wallet —

including fees paid to establish a wallet and/or LLC — must come directly from the funds in your

IRA. The IRS offers zero flexibility on this requirement. It’s not even acceptable to use personal

funds and then reimburse yourself from your IRA.

All of the capital involved in establishing or funding your bitcoin wallet must come directly from

and return directly to your IRA (or LLC) with no detours in between.

3. Store Cryptocurrency-

Your bitcoin will be stored in a digital or bitcoin wallet via our proprietary solution, the world’s first

fully-insured cold storage wallet for digital currency IRAs. Simply put, there is no more secure

option for storing cryptocurrencies in your IRA.

That is all to be followed and you’re done with your 401(k) Plan. By following these three simple

steps, you’ll have configured your IRA to invest in Bitcoin and other cryptocurrencies.

● However, for all my lovely readers, there is an additional step, that I suggest to all my

readers that you should take before executing your first bitcoin transaction-

○ Consult with an objective, qualified, third-party adviser to confirm whether Bitcoin

is right for your IRA and, if so, in what quantities.

I feel this is not even a step, it is just a reminder that we are your well wishers and we want the

best for each one of you. We want you to make the right choice for yourself and be careful while

making such critical decisions regarding investments in the field of crypto market.

After all, crypto indeed has the potential to change the world, so an extra step is worth it.

I hope you guys find what you are looking for and make the rightest choice for yourself!

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