Crypto exchange Coinbase, custodian Kingdom Trust and investment firm Regal Assets have jointly begun offering crypto IRA and 401(K) accounts in the United States.
Major American crypto exchange Coinbase, asset custodian Kingdom Trust and alternative assets investment firm Regal Assets have begun offering cryptocurrency-based individual retirement and 401(K) accounts in the United States.
An individual retirement account (IRA) is an investment account that enables an individual to save money for retirement in a tax-deferred way, while a 401(K) represents a qualified retirement savings plan offered by an employer.
In a Nov. 13 press release, the firms said that the new offering will give investors access to more than 30 digital currencies in the industry directly through Coinbase, with insurance protection provided by British insurance firm Lloyd’s of London. The parties released their Bitcoin (BTC) IRA with $200 million in insurance protection.
Tyler Gallagher, CEO of Regal Assets, said that clients “make all the decisions themselves when it comes to digital asset selections and allocation, but do have the option of guidance by connecting with their dedicated account manager.”
Currently, the product supports major coins such as BTC, Ether (ETH), Litecoin (LTC), XRP, Stellar (XLM), EOS, and Tezos (XTZ), among others.
Adoption of crypto in retirement savings plans
Last month, Los Angeles-based Bitcoin IRA partnered with digital asset lending firm Genesis Capital to offer investors the opportunity to earn interest on cryptocurrency and cash holdings. Bitcoin IRA has reportedly provided digital asset IRAs since 2016 and processed over $350 million in investments, onboarding 4,000 clients.
In a study by investment platform eToro earlier this year, 45% of respondents expressed interest in allocating cryptocurrency in their 401(K) retirement savings plans, and 74% of digital currency traders would like to receive that option from their 401(K) plan providers.
Source: , CoinTelegraph
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