Traditional IRA custodians currently don't allow cryptocurrency in their IRAs. Robinhood supports a limited range of asset classes. You can trade stocks (not short selling), ETFs, options and cryptocurrencies, such as Bitcoin (BTC), Bitcoin Cash (BCH), Bitcoin SV (BSV), Dogecoin (DOGE), Ethereum (ETH), Ethereum Classic (ETC) and Litecoin (LTC). TD Ameritrade offers more products, including mutual funds, bonds, futures, currencies and a robo-advisory service.
Unless you're looking for cryptocurrency, the TDA takes the win here. While each platform offers unique features, they are comparable in terms of research. Both have flexible evaluators for stocks, ETFs, mutual funds, and options to help you seek trading and investment opportunities. Option traders will appreciate TD Ameritrade's Option Hacker and Spread Hacker, tools on its thinkorswim platform that allow you to search for simple and complex options strategies.
And if you trade with an ETF, Fidelity has a powerful filter that allows you to search by topic and customize your screens using nearly 100 ETF criteria. If you've long believed in a decentralized future, you might want to consider opening an investment retirement account with a platform that gives you access to cryptocurrency. Ross compares using cryptocurrency in a retirement account to taking a beautiful, exotic animal out of its natural habitat and putting it in a zoo. iTrustCapital is a self-directed IRA account provider that gives you the opportunity to invest in cryptocurrency, gold and silver through your retirement account.
If you're still convinced that you want cryptocurrency in your IRA, limit your exposure to 5%, Slott said. Still, other concerns prevent experts from wholeheartedly recommending cryptocurrency for retirement accounts. While cryptocurrencies are volatile investments, the asset class has surpassed almost any other investment in the past decade. Most financial institutions rate their crypto IRAs with the name of bitcoin because of the popularity of bitcoin.
Interactive Brokers allows you to directly trade four cryptocurrencies, including Bitcoin and Ethereum, for one of the lowest fees in the market. Bitcoin futures are a benefit for some traders who want to be exposed to Bitcoin but don't want to worry about how to protect and store cryptocurrency. iTrustCapital is the leading digital asset IRA trading platform that allows you to directly buy and exchange cryptocurrency and physical gold in real time through from your retirement accounts. As TD Ameritrade continues to develop its digital asset investment programs, this page will be updated with cryptocurrency adoption milestones.
Most retirement accounts for cryptocurrency investments are self-directed and you'll likely need to open a new IRA specifically to invest in cryptocurrency, since most traditional IRAs don't support cryptocurrency. Kraken is a cryptocurrency exchange that allows you to trade dozens of different digital currencies, such as Bitcoin and Ethereum, as well as with other emerging ones such as Cardano and Solana.