How to start a Fidelity Bitcoin IRA
Fidelity offers US adults aged 18 and older the ability to hold Bitcoin, Ethereum, and Litecoin in Roth, traditional, or rollover IRAs. These accounts feature zero account maintenance fees and a 1% transaction spread for direct digital asset ownership.
Account eligibility and asset availability
Fidelity allows US adults aged 18 and older to invest in Bitcoin, Ethereum, and Litecoin through Roth, traditional, or rollover IRAs. This availability excludes residents of California and Oregon. These accounts allow for the direct ownership of digital assets. Users hold their cryptocurrency in digital wallets to ensure security. This method differs from buying Bitcoin ETFs in a standard brokerage account. You already know that crypto fluctuates, but these specific IRA structures change how you hold the assets. The digital assets arm of Fidelity, Fidelity Digital Assets, states that Bitcoin is superior money because it combines the scarcity and durability of gold with the ease of use, storage, and transportability of fiat. The "Bitcoin First" report explains that Bitcoin stays above any other cryptocurrency and remains unlikely for any other asset to overtake its monetary value in the digital asset ecosystem. The January 2024 approval of Bitcoin spot ETFs in the US made large-scale institutional and retirement access possible for everyone.
| Feature | Detail |
|---|---|
| Asset Types | Bitcoin, Ethereum, Litecoin |
| Account Types | Roth, Traditional, Rollover |
| Account Fees | $0 |
| Transaction Fee | 1% spread |
| Minimum Age | 18 |
Costs and 2026 contribution limits
The 2026 IRS contribution limits for all traditional and Roth IRAs total $7,500 for those under age 50 and $8,600 for those 50 or older. This follows the 2025 limits of $7,000 and $8,000. While these limits apply to annual contributions, 401k rollovers into a Bitcoin IRA bypass these specific caps. Because Bitcoin can experience 70% to 80% drawdowns in its price history, the product remains designed specifically for investors who maintain a very high-risk tolerance for all their various digital asset holdings. The Bitcoin IRA is a useful tool for direct exposure if you accept the volatility. The 1% transaction spread applies to the execution price of every buy and sell transaction. Fidelity does not charge additional account maintenance fees for these retirement plans. Bitcoin investors often view the asset as a hedge against inflation because its fixed supply of 21 million coins prevents dilution. However, the volatility is a massive risk because Bitcoin has historically run roughly five times as volatile as US equities.
Comparing the IRA to 401(k) workplace plans
Fidelity provides a different experience for 401(k) participants than for IRA holders. In a 401(k) plan, employers must opt into the digital asset offering. Fidelity allows no more than 20% of a saver’s contributions to go toward Bitcoin within these workplace plans. These 401(k) accounts carry fees between 0.75% and 0.90% of assets, plus an additional trading fee. This makes the 401(k) option more expensive than the no-fee IRA model. Direct ownership in an IRA means you own the coins rather than shares in a fund. This distinction matters because you keep the full value of the assets in a Roth structure. The Department of Labor maintains a neutral posture toward fiduciaries weighing digital assets in 401k plans after the removal of the May 2025 guidance. The August 2025 executive order, titled "Democratizing Access to Alternative Investments for America’s Workers," instructed the Department of Labor to issue updated fiduciary guidance. Will other major providers follow Fidelity’s lead in offering these specific crypto IRAs?
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