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Can you hold Ethereum and other altcoins in a crypto IRA?

July 1, 2025
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updated on

The cryptocurrency market is evolving beyond Bitcoin, and many investors are turning their attention to assets like Ethereum and other altcoins as part of their long-term financial planning.

A common question is whether it's possible to hold these digital assets in a tax-advantaged retirement account — specifically, a crypto IRA.

This article answers a common question: Can you hold Ethereum in a crypto IRA? It also examines the broader topic of storing altcoins in IRA structures and how Alto facilitates access to these assets.

Understanding what an ethereum IRA is

An Ethereum IRA refers to a self-directed individual retirement account that allows the inclusion of Ethereum (ETH) as a held asset. Unlike traditional IRAs, which focus on stocks, bonds, and mutual funds, a crypto IRA enables allocation into cryptocurrencies such as Bitcoin, Ethereum, and a range of altcoins — depending on the provider. Subject to platform eligibility and IRS rules.

Ethereum in a crypto IRA

  • Asset type: ETH is classified as a digital commodity and is widely supported by crypto IRA custodians.
  • Storage: Ethereum holdings in a crypto IRA are held by custodians through secure wallets, often integrated with regulated exchanges.
  • Tax structure: Depending on the account type (Traditional, Roth, or SEP), gains may grow tax-deferred or tax-free if IRS conditions are met.

What about altcoins in an IRA?

In addition to Ethereum, many crypto IRAs support a range of altcoins — a term used to describe all cryptocurrencies other than Bitcoin. This includes well-known projects like Solana (SOL), Chainlink (LINK), Polygon (MATIC), and more.

Whether or not a specific altcoin is eligible for inclusion in an IRA depends on the provider’s supported asset list. Some platforms offer a broad catalog, while others are limited to select cryptocurrencies.

Considerations for holding altcoins in IRA accounts:

  • Custodian support: Only altcoins supported by the IRA custodian or their exchange partner can be added to your account.
  • Volatility: Altcoins may experience significant price fluctuations, which is relevant for long-term retirement planning.
  • Compliance: All purchases must occur through the crypto IRA platform to maintain IRS compliance — self-custody is not permitted.

How Ethereum and altcoins are held in retirement accounts

Holding Ethereum and altcoins within an IRA involves a regulated structure:

  • Qualified custodians: Crypto IRAs must be managed by custodians authorized to administer retirement accounts.
  • Integrated exchanges: Trading of ETH and altcoins typically occurs through partner platforms like Coinbase.
  • Secure storage: Assets are held in institutional-grade wallets with protections like cold storage and insurance.

This infrastructure ensures that crypto assets are managed in line with retirement account regulations.

How Alto CryptoIRA® facilitates Ethereum retirement account and altcoin investing

For those interested in an Ethereum IRA or including altcoins in IRA accounts, platforms like Alto CryptoIRA® provide a streamlined solution. Alto CryptoIRA® supports a wide range of cryptocurrencies, making it a versatile choice for building an Ethereum retirement account or diversifying with altcoins. Key features include:

  • Broad selection: Access to over 250 cryptocurrencies, including Ethereum, Solana, Cardano, and more, via Coinbase integration.
  • Low entry point: Start investing with just $10, suitable for investors of all levels.
  • Cost-effective structure: No setup or annual fees, with a transparent 1% trading fee per transaction.
  • Tax flexibility: Supports Traditional, Roth, and SEP IRAs to align with your tax preferences.
  • Secure custody: Assets are held in institutional-grade wallets with cold storage and insurance through Coinbase.
  • User-friendly platform: Simplifies account setup, funding, and trading for a seamless experience.

Alto CryptoIRA® enables investors to hold Ethereum and a diverse array of altcoins within a tax-advantaged retirement account, supported by robust security and compliance measures.

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