Interest in investment in alternative assets, including cryptocurrencies, precious metals, and real estate, has increased recently. Hence, self-directed Individual Retirement Accounts (SDIRAs), which enable investors to invest their IRA funds in these alternative assets, are witnessing increased traction. This guide compares two popular SDIRAs “Alto IRA vs iTrustCapital“.
Table of Contents
Alto IRA vs iTrustCapital: Summary
FeaturesAlto IRA vs iTrustCapital
Minimum deposit to open an account
Wire Transfer Fee
I could not find it clearly mentioned in the iTrustCapital portal
200 plus cryptocurrencies through its integration with Coinbase.
29 different cryptocurrencies including Bitcoin, Ether, Litecoin, Ripple and more
Apart from cryptocurrencies, iTrustCapital allows investing in Gold, Silver, and other precious metals.
Security and Insurance of funds
Alto IRA has implemented multiple measures to make your cryptocurrencies secure.
Two factor authentication: Alto IRA offers two-factor authentication powered by Authy or Google Authenticator.
Security for cryptocurrencies: In Alto IRA, cryptocurrencies or tokens are bought and sold using Coinbase (when you choose Alto crypto IRA).
Coinbase keeps your digital assets in hot or cold storage.
Insurance: Digital assets with Coinbase are protected by a commercial crime policy of up to $320 million. Furthermore, digital assets with Coinbase are protected by a cybercrime policy of up to $3 million
On the other hand, Alto is the custodian of your assets and funds. You do not directly own your assets and funds. Although Alto claims that your funds and assets are kept separately and are not used in its own operations.
iTrustCapital partners with Coinbase, which offers Coinbase Custody to your digital assets up to $370 million.
Gold and Silver are held at the Royal Canadian Mint and traded on VaultChain, a secure blockchain-distributed ledger.
iTrustCapital crypto IRA gives you the option to stake Polkadot (DOT). Currently, it needs a minimum of 5 DOT to start staking.
At the end of the staking period, which is 90 days, for now, any rewards earned by iTrustCapital by staking your Polkadot, will be distributed among those who chose the option to stake their Polkadot.
Please note that there is no guarantee of staking rewards. Staking rewards are dependent on several factors including the cryptocurrency’s current prices. The reward shown in the user interface is only indicative.
iTrustCapital charges a staking fee of 20%.
However, Alto IRA does not allow staking.
Alto IRA vs iTrustCapital: Pros and Cons
Alto IRA: Pros and Cons
Mere $10 minimum to start your account
Supports 200 plus cryptocurrencies and tokens
Offers a free concierge service to help walk you through setting up and funding your account.
Low fee of only 1% on each transaction
New to the industry.
Crypto staking is not offered
Does not allow direct cryptocurrency transfers from your crypto wallet to your Alto crypto IRA account.
iTrustCapital: Pros and Cons
Comparatively lower fees. Only a mere 1% is charged for trading and no monthly or broker fees.
24/7 trading allowed
New users are rewarded $100 worth of Bitcoin
Cold/offline storage of your digital assets is provided by Coinbase Custody.
Good customer service.
Free cryptocurrency transfer from other crypto IRA accounts to iTrustCapital IRA account.
Offers a mobile application for ios.
Minimum $1000 is required to open an account.
The number of cryptocurrencies offered to invest in is smaller as compared to other competitors.
No interests (like dividends on stocks) are offered on the cryptocurrencies stored in iTrustCapital IRA. Some of the other crypto IRA accounts do offer interests on your cryptocurrencies.
Alto IRA vs iTrustCapital: Conclusion
In conclusion, both the SDIRAs, allow investing in alternative asset classes like cryptocurrencies, real estate, precious metals, startups, and more.
However, they offer a few unique features which make them suitable for different individuals with different requirements.
If you are looking to invest in cryptocurrencies, Alto IRA allows you to choose from a list of 200 cryptocurrencies and tokens at a low rate. However, iTrustCapital also allows staking your cryptocurrencies purchased using your IRA funds.