Investors are miles ahead of savers in the journey to financial freedom because investors have a chance to grow their wealth while savers can only expect capital preservation in the best-case scenario. Hence, it is not surprising that investors are always on the lookout for ways to tweak the assets in their portfolios in order to record bigger gains. People with an IRA are actually saving and investing money so that they can secure their financial stability during retirement.
If you already have some money in your IRA, it is not enough to check in occasionally or wait until your fund manager sends a statement of account before you know how your investments are faring. You’ll need to go out of your way to educate yourself about investments and to know the kind of assets that will give you the best ROI. If you have some money in your IRA, moving the money up into a Bitcoin IRA might be one of the smartest investment decisions you’ll ever make.
Bitcoin has a bright future ahead
One of the reasons that make it smart to move the $50,000 from your IRA into a Bitcoin IRA Account is that Bitcoin operates in an industry that offers potentially bigger returns. Bitcoin is one of the alternative investments in the market and the $50,000 in your IRA might offer you better returns if you convert it into a Bitcoin IRA.
To start with, the research firm McKinsey & Co. reported that the alternative investment markets worth about $7.2 trillion. Analysts at McKinsey also noted that investors typically record an annualized growth rate of 10.7% in the alternative investment market. In essence, the alternative investment market has doubled its market size in the last 10 years and it sports twice the growth rate recorded in other markets.
Price Waterhouse Coopers (PwC) has also released another research report showing that the alternative investment market will grow by $13.6 trillion by 2021. The PwC analysts observed that “Alternative asset management will undergo a transformation in the years to 2020 and beyond as it adjusts to a new operating and economic environment and moves toward center stage.”
More pointedly, Bitcoin offers one of the biggest returns on investment in the alternative investment market. Hence, doing a rollover of the $50,000 in your IRA into a Bitcoin IRA Investment might allow you score bigger returns. Bitcoin currently enjoys the first-mover advantage in the cryptocurrency industry and a $200 investment in Bitcoin in 2011 will be worth more than $1M today. No other investment can promise you a massive 500,000% growth in three years.
The best part of the whole scenario is that Bitcoin in an IRA will give you more peace of mind than an investment in equities or real estate. Potential retirees should avoid making financial decisions that could give them sleepless nights while raising their blood pressures abnormally. Stocks are very volatile and the volatility in the equities market will increase when the ripple effects of the Brexit vote becomes more pronounced.
From the aforementioned, it is obvious that you’ll be making a smart financial decision if you choose to rollover your IRA to Bitcoin. As a Bitcoin investor, you are investing in the rapid growth of the pioneer digital currency and you can expect to make massive returns before the rest of the investment community start trying to get a foothold in the cryptocurrency industry.
In addition, you’ll be taking the front seat in backing the blockchain technology that sets Bitcoin apart from other type of currencies. In essence, you can expect a monumental upside potential when the application of blockchain technology becomes more pronounced in traditional financial trading, payment processing, and in the banking industry.
Nonetheless, you should note that Bitcoin is a speculative investment and it might be wise to invest only a portion of your IRA into Bitcoin. If all the money you have in your IRA is $50,000, you’ll need to make an informed decision about the high-risk, high-reward nature of Bitcoin before you invest all the money in a Bitcoin Self-Directed IRA. However, the fact remains that no other investment vehicle can give your IRA the kind of massive boost that you can record from when your Bitcoin investment pays off.