No, You Can't Invest in Bitcoin Through Fidelity's IRAs

NEWS
Nermin Hajdarbegovic
Dec 13, 2013 at 18:10 UTC  |  Updated  Dec 15, 2013 at 17:49 UTC

Mutual fund Fidelity is denying claims that bitcoin can be used in self-directed IRAs (Individual Retirement Accounts) held through the company.

On Wednesday, CNBC and MarketWatch both reported that Fidelity's investors could choose to invest funds in the Bitcoin Investment Trust (BIT). However, Fidelity was quick to deny the reports.

Fidelity responded via twitter that it was not offering bitcoin investment through its platform.

BIT was launched in September by SecondMarket, who teamed up with several other self-directed IRA providers to allow investors a straightforward way to make IRA investments in bitcoin. BIT claims to currently have net assets of $58.8m.

Barry Silbert, CEO at SecondMarket, said: "The Bitcoin Investment Trust was previously approved by Fidelity as an eligible investment for accredited clients in their self-directed IRA accounts and investments began closing last week. We understand that Fidelity has decided to reevaluate this decision."

He went on to say BIT remains an approved investment on the PENSCO, Entrust, Millennium and Equity Institutional self-directed IRA platforms for accredited investors.

"We expect to add other platforms to the approved list shortly. Eligible investors can also invest directly through the BIT website," Silbert concluded.

Piggy Bank image via Shutterstock

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