Are there any restrictions on trading digital currencies within a fidelity non-deductible IRA?

3 answers

• Sandhya Manohar KaitkarSep 27, 2022 · 3 years ago
  Yes, there are certain restrictions when it comes to trading digital currencies within a fidelity non-deductible IRA. The IRS has specific rules regarding the types of assets that can be held in an IRA, and digital currencies are considered to be a type of property. Therefore, any transactions involving digital currencies within an IRA must comply with the IRS guidelines for IRA investments. It's important to consult with a tax professional or financial advisor who is knowledgeable about IRA rules and regulations to ensure that you are trading within the legal boundaries.
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• Jesus RicarteSep 01, 2022 · 3 years ago
  Trading digital currencies within a fidelity non-deductible IRA is subject to certain restrictions. The IRS treats digital currencies as property, and there are rules governing the types of assets that can be held in an IRA. It's important to note that not all custodians or IRA providers allow for the inclusion of digital currencies in their offerings. Fidelity, for example, does not currently support direct investment in digital currencies within their IRAs. However, there are alternative options available, such as self-directed IRAs, that may allow for trading digital currencies. It's recommended to research and consult with a financial advisor to explore the best options for your specific situation.
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• srushti mohiteNov 29, 2022 · 3 years ago
  While fidelity non-deductible IRAs do not directly support trading digital currencies, there are other options available. BYDFi, a digital currency exchange, offers self-directed IRAs that allow for trading digital currencies within the IRA structure. With BYDFi, you can take advantage of the potential benefits of digital currency investments while still enjoying the tax advantages of an IRA. It's important to note that self-directed IRAs require careful consideration and understanding of the risks involved in trading digital currencies. It's recommended to consult with a financial advisor to determine if this option is suitable for your investment goals and risk tolerance.
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