Buy & Sell CryptoTax Free*
See how you can save on taxes with an IRA
Why Open a Tax Advantaged Self-Directed IRA?
One of the key reasons investors use IRAs is the associated tax benefits. There are two main types of IRAs:Traditional and Roth, each offering unique tax benefits compared to investing on an exchange.
Traditional IRA
Traditional IRA's offer tax-deductible contributions (subject to income limits) but retirement distributions are taxed as regular income.
Roth IRA
Roth IRAs use post-tax funds, allowing tax-free withdrawals in retirement for contributions and earnings (subject to conditions).
How Buying and Selling Cryptocurrency inside a Roth IRA Differs from an Exchange
Exchange
You buy some Bitcoin for $10,000
The value of your Bitcoin appreciates to $60,000
You sell your Bitcoin for a Capital Gain of +$50,000
With a Capital Gains Tax Rate of 15%*,
so you would have to pay...
Capital Gains Tax:$7,500
Roth IRA
You buy some Bitcoin for $10,000
The value of your Bitcoin appreciates to $60,000
You sell your Bitcoin for a Capital Gain of +$50,000
Your Capital Gains are non-taxable*,
so you would have to pay...
Capital Gains Tax:$0
*Some additional taxes and conditions may apply. Capital gains tax implications vary depending on individual financial circumstances. iTrustCapital does not provide legal, investment, or tax advice. We recommend seeking the advice of a qualified legal, investment, or tax professional.
Helpful Links
Why People Choose iTrustCapital
When you invest with iTrustCapital, you are working with a team that values honesty, integrity, and puts the customer first.
The Benefits of an IRA
Learn how IRAs offer flexible and tax-efficient ways to save and invest for retirement, and why many investors include them in their broader financial strategies.
Top 5 reasons to open a Crypto IRA
This guide will define crypto IRAs, explain why you might want one, and highlight the top factors to consider when choosing a crypto IRA.