iTrustCapital vs. CoinIRA

Written by Banks Editorial Team
4 min. read
Written by Banks Editorial Team
4 min. read

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Roth IRAs provide a significant tax advantage for investors. You can accumulate assets and never worry about taxes on capital gains or dividends. The IRS will not tax the capital gains and distributions in a Roth IRA. You’ll get taxed going in, but you won’t get taxed going out. This tax perk has attracted many investors seeking to keep all of their gains. Roth IRAs work best when your asset appreciates significantly, and few assets have reached crypto’s level.

Some digital currencies have provided a 1,000% return for investors within a few years. Early adopters became part of a life-changing opportunity, but Bitcoin is far from the only cryptocurrency. Some investors believe cryptocurrencies can continue climbing, and a crypto IRA can protect your gains from taxes. The IRS can’t tax your capital gains if you keep the crypto in an IRA. iTrustCapital and Coin IRA are two options for creating a crypto IRA account. We’ll compare the two providers, so you know which one is best for you.

Invest In Crypto for Retirement

What is iTrustCapital?

iTrustCapital is a self-directed crypto IRA provider that lets you choose among traditional IRA, Roth IRA, and SEP IRA plans. iTrustCapital has handled over $5 billion in transactions and manages over 150,000 accounts. iTrustCapital has no setup or monthly fee. The company only charges a 1% transaction fee. iTrustCapital lets you trade additional alternative assets with easy access to gold and silver.

What is CoinIRA

Coin IRA is the child company of Goldco, a Gold IRA that has been in the industry for over a decade. The crypto IRA has benefitted from this relationship, becoming a popular choice for many crypto investors. The company provides educational content to get investors up to speed with Bitcoin and other digital currencies. In addition, CoinIRA works with custodians that can put your crypto in cold storage. This offline perk protects your holdings from hackers.

iTrustCapital vs. CoinIRA: Differences and Similarities

iTrustCapital and CoinIRA both offer a similar service to investors, but each company has a few differences.

Account Minimum

iTrustCapital requires a $1,000 minimum to open an individual retirement account. The minimum investment for CoinIRA is steeper. You will have to invest at least $20,000 to open an IRA through CoinIRA. CoinIRA has a lower minimum if you transfer funds from another account. Investors only have to meet a $3,500 account minimum for transferring funds. If you want to get a CoinIRA account but don’t have $20,000 available, you can accumulate $3,500 in your IRA account and transfer it to CoinIRA. iTrustCapital lets you avoid this complicated approach with their $1,000 minimum for IRA accounts. 

Fees

iTrustCapital and CoinIRA each have transaction fees. CoinIRA charges a 1.25% transaction fee for each buy order and a 1% transaction fee for sell orders. iTrustCapital charges a uniform 1% transaction fee across the board. If you make weekly or monthly contributions to your portfolio, the difference will add up. For example, if you invest $50,000 into your IRA, you’ll save over $100 with iTrustCapital. iTrustCapital doesn’t charge any other fees for its individual retirement accounts.

Features

Both crypto IRA providers take security seriously. CoinIRA uses cold storage to protect crypto holdings. iTrustCapital works with several storage providers to keep your crypto safe. iTrustCapital does not hold any crypto, meaning hackers won’t get a treasure trove of crypto by hacking into iTrustCapital. Instead, the company uses two-factor authentication to offer some protection, but the company’s video conferencing feature provides extra protection.

If you want to make a large withdrawal from your IRA, you must join a representative on a video conferencing call to confirm your identity. While this extra step prolongs your access to funds, the video conferencing call stops hackers from getting into your account. You don’t want to lose your hard-earned money because protection like this isn’t in place. iTrustCapital and CoinIRA invest in insurance that adds more security to your crypto assets.

Invest In Crypto for Retirement

Customer Service and Reviews

Both companies have received many reviews from their customers. iTrustCapital has received over 300 Google reviews averaging 4.6 out of 5 stars. CoinIRA’s parent company, Goldco, has received over 600 reviews on Consumer Affairs with a 4.8 out of 5-star rating. This rating reflects Goldco, not only CoinIRA. CoinIRA has sparse reviews when separating it from Goldco.

iTrustCapital and CoinIRA each offer easy-to-access support options. iTrustCapital has a support section with useful articles, but you can submit a request to customer support if you can’t find your answer. CoinIRA doesn’t offer a support section like iTrustCapital, but you can find their contact information at the bottom of every page. Both companies let you send an email, call them in real-time, or schedule a call for a time that works for you.

Where iTrustCapital Stands Out

iTrustCapital only has a 1% transaction fee and lets you choose from over 25 crypto assets. iTrustCapital makes it easy to invest in gold, silver, and other alternative investments. The company goes above and beyond with its SOC 2 Type ll audited security features including cold storage elements, as well as the video conferencing requirement to prove your identity before large withdrawals. 

Where CoinIRA Stands Out

CoinIRA is a child company of Goldco, giving their management team more experience than iTrustCapital. CoinIRA also lets you trade precious metals such as gold and accumulate other alternative assets. Armed guards and cryptographic technology experts protect your crypto holdings, which get kept in cold storage. 

How To Open a Crypto IRA with iTrustCapital

A crypto IRA offers a significant tax advantage, and over 150,000 people use iTrustCapital for their crypto retirement plans. You can join them by clicking “Open Account” on their website. You will have to provide a username, email, phone number, and password to create your account. Check your inbox for a confirmation email and click the link to continue. You’ll get sent to a page where you can apply for a crypto IRA. iTrustCapital will invite you to fill in beneficiaries and provide your funding source during the application process. If you get approved, you can start accumulating crypto in your account.

How to Get Started with CoinIRA

Their website has an “Open An Account” button that guides you through the process. You can create a CoinIRA account in under five minutes by providing your email address and other details. CoinIRA will send you a confirmation email to verify your identity. After getting through that step, you can apply for a crypto IRA account. You can set up a traditional IRA or Roth IRA through CoinIRA. 

iTrustCapital vs. CoinIRA: The Bottom Line

iTrustCapital and CoinIRA are reliable crypto IRA choices. You can take advantage of crypto returns without worrying about capital gains taxes. Both companies let you invest in several cryptocurrencies with options to explore additional alternative assets. iTrustCapital and CoinIRA give you quicker access to precious metals such as gold and silver. 

Both companies provide formidable security, but iTrustCapital is cheaper and easier to enter. iTrustCapital charges a 1% transaction fee for buy and sell orders. CoinIRA also charges a 1% transaction fee for sell orders, but they charge 1.25% for buy orders. You will make far more buy orders than sell orders in an individual retirement account. The extra 0.25% can add up significantly. iTrustCapital has a more friendly $1,000 account minimum for a crypto IRA, while CoinIRA has a $20,000 account minimum. CoinIRA’s minimum is only $3,500 if you transfer funds from another IRA.

iTrustCapital and CoinIRA have great features for investors, but they achieve the same goal. You can invest in crypto and accumulate tax-free capital gains.

iTrustCapital

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