Fidelity Investments has officially launched Fidelity Crypto for IRAs, a groundbreaking retirement investment option that allows U.S. adults to invest in leading cryptocurrencies—Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC)—within a tax-advantaged Individual Retirement Account (IRA).
This new offering reflects Fidelity’s ongoing commitment to meeting evolving investor demand and integrating digital assets into mainstream financial planning. Designed with security, accessibility, and long-term growth in mind, the Fidelity Crypto IRA provides a seamless way for individuals to diversify their retirement portfolios with digital currencies.
👉 Discover how you can start building your crypto retirement portfolio today.
What Is the Fidelity Crypto IRA?
The Fidelity Crypto for IRAs product enables eligible U.S. residents aged 18 and over to invest in select cryptocurrencies through a Roth IRA, traditional IRA, or rollover IRA. Notably, the service comes with no account opening or maintenance fees, making it one of the most accessible crypto retirement solutions from a major financial institution.
While there are no direct fees, trades are subject to the same spread applied to taxable accounts. This means investors will pay a small premium on buy and sell transactions, consistent with Fidelity’s existing crypto trading model.
Assets are securely held by Fidelity Digital Assets, the firm’s dedicated digital asset custody arm, and stored in cold wallets—offline storage systems disconnected from the internet. This approach significantly reduces exposure to cyber threats and is widely regarded as one of the safest methods for safeguarding digital wealth.
To use the service, investors must first establish a Fidelity Brokerage IRA. Funds are deposited into this brokerage account and then transferred directly to the crypto sub-account, where purchases of BTC, ETH, or LTC can be made.
Why Bitcoin, Ethereum, and Litecoin?
Fidelity’s selection of supported cryptocurrencies—Bitcoin, Ethereum, and Litecoin—is strategic and grounded in rigorous evaluation criteria. These include:
- Market capitalization and liquidity
- Regulatory clarity and compliance readiness
- Decentralization and network resilience
- Proven track record of blockchain security
Bitcoin (BTC) remains the dominant digital asset, with a market cap of approximately $1.7 trillion, earning its reputation as “digital gold.” It serves as a long-term store of value and an inflation hedge.
Ethereum (ETH), with a market cap around $250 billion, powers a vast ecosystem of decentralized applications (dApps), smart contracts, and tokenized assets. Its utility extends far beyond simple transactions, making it a cornerstone of the decentralized finance (DeFi) movement.
Litecoin (LTC), often called the “silver to Bitcoin’s gold,” was created in 2011 as a faster, leaner alternative. With a block time of just 2.5 minutes—compared to Bitcoin’s 10 minutes—Litecoin enables quicker transaction confirmations. It also features a maximum supply of 84 million coins, four times that of Bitcoin, and generally offers lower transaction fees, making it ideal for frequent or smaller payments.
These three assets align with Fidelity’s retail crypto offering launched in 2022, ensuring consistency across its digital asset platforms.
Fidelity’s Leadership in Digital Assets
As one of the world’s largest investment managers—ranked third globally behind BlackRock and Vanguard—Fidelity oversees **$15.1 trillion in assets under administration** as of December 31, 2024, including $5.9 trillion in discretionary assets.
Its early entry into the digital asset space has positioned it as a trusted bridge between traditional finance and emerging crypto markets. With over a decade of experience in digital asset custody and institutional-grade security protocols, Fidelity brings unparalleled credibility and infrastructure to retail investors.
👉 Learn how institutional-grade security can protect your digital investments.
How It Compares: Crypto IRAs vs. 401(k) Options
In April 2022, Fidelity introduced a separate initiative allowing employers to include Bitcoin as an investment option in 401(k) plans. However, adoption depends on individual employers choosing to implement it—a process that has seen limited uptake so far.
In contrast, the new Crypto IRA is available directly to individual investors without employer involvement, significantly broadening access. As of early 2025, detailed data on participation rates in employer-sponsored crypto 401(k)s remains undisclosed, but the direct-to-consumer IRA model is expected to drive faster adoption.
This shift signals growing confidence in crypto as a legitimate asset class for retirement planning—not just a speculative venture.
Frequently Asked Questions (FAQ)
Q: Who is eligible to open a Fidelity Crypto IRA?
A: U.S. residents aged 18 and older who live in eligible states can open a Fidelity Crypto IRA. The product is not available internationally or in all U.S. states due to regulatory requirements.
Q: Are there any fees associated with the Fidelity Crypto IRA?
A: There are no account opening or ongoing maintenance fees. However, each trade incurs a spread—the difference between the buy and sell price—similar to Fidelity’s taxable crypto accounts.
Q: How are my crypto assets protected?
A: All digital assets are held in cold storage by Fidelity Digital Assets, which uses military-grade encryption and multi-layered security protocols to prevent unauthorized access.
Q: Can I hold other investments alongside crypto in my IRA?
A: Yes. The Fidelity Crypto IRA operates as part of a broader Brokerage IRA, allowing you to hold traditional investments like stocks, bonds, and ETFs alongside your cryptocurrency holdings.
Q: Is cryptocurrency in an IRA taxed differently?
A: Yes. In a Roth IRA, qualified withdrawals—including gains from crypto—are tax-free in retirement. In a traditional IRA, contributions may be tax-deductible, but withdrawals are taxed as ordinary income.
Q: Can I transfer an existing IRA to the Fidelity Crypto IRA?
A: Yes. You can roll over funds from an existing traditional or Roth IRA into the Fidelity Crypto IRA, subject to IRS rules and contribution limits.
The Future of Crypto in Retirement Planning
The launch of Fidelity Crypto for IRAs marks a pivotal moment in the mainstream adoption of digital assets. As more investors seek diversification beyond traditional stocks and bonds, crypto offers exposure to high-growth potential assets with global reach.
Recent trends show increasing interest among financial advisors: more are recommending crypto allocations for clients seeking long-term growth and inflation protection. Additionally, data indicates a shift toward greater diversification within crypto IRAs—not just Bitcoin, but also Ethereum and select altcoins like Litecoin.
👉 See how top investors are diversifying their retirement portfolios with digital assets.
Final Thoughts
Fidelity’s entry into the crypto IRA space reinforces the growing legitimacy of digital currencies as part of a balanced retirement strategy. By combining robust security, tax advantages, and access to leading cryptocurrencies, Fidelity empowers everyday investors to future-proof their savings.
Whether you're new to crypto or looking to integrate digital assets into your long-term financial plan, the Fidelity Crypto IRA offers a trusted pathway backed by one of the most respected names in finance.
As adoption continues to rise, now may be the ideal time to explore how cryptocurrencies can play a role in securing your financial future.
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