A Complete Guide to Cryptocurrency SMSF

If you have carefully noticed, you must have found that cryptocurrency has become one of the most important currencies for investments. Digital currencies have been the best-performing asset in the last decades. For instance, Bitcoin’s annualised returns of 230% are 10x higher than the NASDAQ 100 Index. If you want to build substantial wealth in the short term, you must consider cryptocurrency as a part of your SMSF (self-managed super fund) that will help you to minimise tax and maximise returns. We will discuss all the SMSF in this post.

What is an SMSF?

SMSF (self-managed super fund) is a private fund that the trustee controls. There can be a maximum of 6 trustees responsible for the fund and choose the investments (such as cryptocurrency) and other high yields returns. You and your members run the SMSF for your benefit and are responsible for following all the laws and regulations to make the most of the SMSF. It is a great option that you must consider. Below, we will discuss all the advantages of opting for an SMSF.

  • Choose your investment options- It is one of the most significant advantages of SMSF. You get to choose everything when it comes to choosing investment options. You can diversify your portfolios and choose obscure investments, such as artwork, collectables and physical gold. The important thing is that you must meet specific strict criteria to ensure the SMSF is legally compliant.
  • Flexibility and Control- The other advantages of the SMF are its excellent flexibility and control. As a trustee, you can choose the rules of the fund. You are in charge of investments means and can switch to crypto assets as per the market needs. The amount of control you have in an SMSF is relatively high compared to other types of funds in the market.
  • Lower Taxes- The other benefit of using the Best SMSF Cryptocurrency instead of simply investing in crypto as an individual is that you get to pay lower tax rates. It is only 15%, the same as retail and industry funds. When you compare this with other tax rates, it is pretty low, meaning you will make big out of your investment options.
  • Lower Costs- Many people don’t consider setting up SMSF funds because they think it is costly. It used to be the case years ago. Nowadays, they are much more accessible due to increased competition. Most of the costs to run an SMSF are fixed, which means if you have a super low balance, it will cost you more, but if you have a more significant proportion, you could enjoy lower fees than if you used a regular super fund.

Wrapping Up

An SMSF is an excellent option if you are considering a plan for your retirement. It will give you the freedom to invest in assets that will surely give you a massive return and safeguard your future against all the speedbumps.

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Disclaimer- This content should not be considered financial advice and is for educational or informational purposes only. 

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