Did you hear? You may be able to allocate some of your 401(k) retirement savings to bitcoin and other cryptocurrencies.
Due – Due
Case in point, retirement juggernaut Fidelity.
Fidelity launched a plan in April 2022 that could let workers invest up to 20% of their 401(k) contributions directly in bitcoins — directly from the account’s main menu. Fidelity says it is the first in the industry to allow such investments without a separate brokerage account. And one employer has already agreed to offer the service later this year.
Previously, if you wanted to invest in crypto for your retirement, you would have to turn to options like a Bitcoin IRA. Basically, it’s a self-directed IRA, but you invest in cryptocurrency instead of mutual funds. You could also use crypto to sponsor a 401(k) through the partnership between ForUsAll and Coinbase.
A self-employed person can set up their own retirement plan via a solo 401(k) or SEP IRA, which can include bitcoin investments.
But, the plunge that Fidelity is taking could be a game-changer. And, to be fair, it’s easy to see why.
Crypto for Retirement is Becoming More Popular
Last year, as the market surpassed $3 trillion in value, many cryptocurrencies soared, enticing a growing number of retirees to invest in cryptocurrencies.
In addition, a survey published by Capitalize revealed that 20% of American employees nearing retirement are presently investing in…
