Fidelity Bans IRA Bitcoin Investments Days After Permitting Them

Tyler Durden's picture

Following what we can only imagine was uproar following our discussion of Fidelity "allowing self-directed IRA holders to 'invest' in Bitcoin," the company has very quickly reversed policy... As MarketWatch notes,

“On an individual basis, we allowed an investor to invest in that Bitcoin Investment Trust,” said Rob Beauregard, director of public relations at Fidelity, in a telephone interview Thursday morning.We are no longer allowing that.”

The firm is not commenting on why that was allowed, and added "reviews are going on."


Via MarketWatch,

Fidelity Investments is no longer allowing clients to invest in the virtual currency bitcoin through SecondMarket’s Bitcoin Investment Trust, a representative for Fidelity told MarketWatch on Thursday.




On Thursday,  a Fidelity spokesman told MarketWatch that such investments are no longer allowed. The spokesman couldn’t confirm when or why the policy was changed.


On an individual basis, we allowed an investor to invest in that Bitcoin Investment Trust,” said Rob Beauregard, director of public relations at Fidelity, in a telephone interview Thursday morning. “We are no longer allowing that.”


He continued: “We’re not commenting right now on why that was first allowed. There are reviews going on, and we’ll make a decision at a later date. At this time, it is not available on our retail platform.”


SecondMarket maintained Thursday that certain Fidelity clients can invest in bitcoin through the Bitcoin Investment Trust. “It is only accredited investors [who] have IRA accounts that are eligible to invest through Fidelity,” SecondMarket’s Silbert said in an email.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
nuclearsquid's picture

hahah, black cars started following management, no doubt.


kliguy38's picture

"Now Mr. Clark......ARE WE CLEAR"

CH1's picture

They got the call.

I'm shocked! Shocked, I say!!

DoChenRollingBearing's picture

BTC will have arrived when my 0.25 oz Gold Eagle arrives, paid for w/ BTC.

fonestar's picture

No Fidelity IRAs?  No surprises here. 

Legacy banking institutions touch Bitcoin at their peril.

Richard Head's picture

Yeah, Fidelity Investments is a "legacy banking institution."  Go back down to your mom's basement.

fonestar's picture

You know, some of this shit may sound like "big news" to you or whatever but to the people buying Bitcoin?  We really don't give two shits about these big names you worship.

pods's picture

Yeah but it won't help bitcoin if you start talking about how Gandalf is the greatest wizard of all time.



fonestar's picture

WTF does Gandalf or whatever have to do with Bitcoin moron?

We will see who is laughing when Bitcoin enters six and seven figures.

pods's picture

You spoke of the Bitcoiners not caring about who the old time financial types worship, so I figured I would warn you not to bring up who you worship.

I will not laugh whichever way it goes.  Doesn't matter to me.  Shouldn't matter to you either eh?  Should we dig up your post about getting out @$780 but not hitting the top?

Oh wait, you lied about that one?  

You are a pumper.  High on greed.  Stick to your other topics, as your posts seem quite rational and I heartily agree with most of them.



fonestar's picture

I've never played WOW, never watched Lord of the Rings or any crap like that.  Don't have Facebook or Twitter.  Your comparisons are plain stupid.  These are not the people who are buying Bitcoin.

ultraticum's picture

This article illustrates why you should never keep your IRA with one of these big establishment firms, being essentially locked the matrix of fools and knaves.  Put your IRA into an LLC, whose sole member is a self-directed IRA custodian, with you being the LLC manager who has sole control over the bank or brokerage account and any investment you want anywhere in the world (other than IRS "prohibited" - or self-dealing - transactions).  Think farmland, precious metals bullion, etc.  All you have to do is report your assets once per year to the custodian who in turn reports the total value to the IRS to keep your tax-deferred status.  And . . . . if you were so inclided, Bitcoin would not be a prohibited vehicle.

nmewn's picture

How much ya wanna bet that "lone investor" tried to launder stolen BitCoins from the ewes at Sheep Marketplace...ROTFL!!!

Seer's picture

"control" is fleeting.

Possession is 9/10 of the law (and 10/10 the law of nature).

Something WILL give.

Speaking of "control," TPTB control the infrastructure that electronic currencies run on.  And while I state that "control is fleeting," the key is determining the time window.

Reading between the tea leaves it should be clear that Fidelity is backing away over the possibility that Bitcoin may be one-stroked by proclaimation that it's a competing currency: the Empire strikes back for such things.

Urban Roman's picture

What amazes me is the abject stupidity of the legacy banking 'industry'.They must be terrified of it.

First it was that stupid 'coin' from the Anglesy mint, and then this. It's like when legacy software companies embrace Linux.

Pure Evil's picture

Well, we wouldn't want to take market share away from Microdouche or Whoracle and replace it with an open source operating system, now would we?

Where's the excessive profit in that?


To the cloud bitches.

Spigot's picture

Either it's the stupids that hit em, or once that article came out their switchboards lit up and they didn't know what to do so they hit the off switch. Redemption, bitchz? Tis the season!

Seer's picture

The difference with the software stuff is that the corporate world has a fair amount of investment in running Linux (servers).

Bitcoin, unless it can be tracked (NSA backdoor for keeping us safe from "terrorists") will end up being proclaimed a competing currency.  AND, the tight coupling of the Fed and the US gov would suggest that the message down the wire to the US-based financials is that if they don't cooperate then QE gets squeezed and or their folders get dusted off (AG gets woken up and told to go to work on them).

nuclearsquid's picture

wow everyone got one downvote.  Does a CIA troll not like this topic of conversation?


pods's picture

When the Chog clears long enough for AnAnon to see his monitor he tends to downvote everyone.  Such is life.


Pure Evil's picture

Yeah, I was wondering who the Debbie Downticker was too.

DoChenRollingBearing's picture

Oh, I had figured it was some satanic, devilish type...

Pure Evil's picture

We're just misunderstood and possibly a little mischievous, and definitely not at all evil, as others, not you, have suggested. ;>

quasimodo's picture

You can pretty much figure etfonehome and two other circle jerk partners are where the red arrows come from. 

greenbear's picture

Which one is the red arrow (I'm color blind)? 

Seer's picture

Arrow?  Shit, man, I didn't even see the Indian! (quote by "blindman")

Colonel Klink's picture

It's where they belong anyways.

pods's picture

Fonestar tried to put his bitcoin in there and it overwhelmed them.



Bangin7GramRocks's picture

I feel your pain brothers! Fidelity wouldn't take my Hummel collection either. Not fair at all!

Wahooo's picture

You're a mucky muck executive. Yesterday you opened accounts to bitcoins. Today, you're sitting in your office 52 stories high, looking out your window upon a beautiful morning. In the distance you see an aircraft slowly circling, surveilling perhaps. It comes closer, hovers outside your window. A drone. Then your phone rings. You don't know the guy on the other end, but he isn't pleased with bitcoin. You look at the drone, you say Oh-kay. He hangs up. You call your fund team: "Bitcoin? You gotta be fucking kidding."

Exponere Mendaces's picture

Looks like some of the grey-hairs got nervous. That's okay, they'll be back at the yield trough soon enough. It also is funny, because now all of the barking seal trolls that said Fidelity is "in bed" with Bitcoin because "new world order" blah blah blah, look like complete idiots.

Just another day in Bitcoin. Its still trading, 861 on Bitstamp - and nary a twitch from this "news". Back to your regularly scheduled stacker/prepper paranoia.

fonestar's picture

So much for the conspiratard's theory that banks and .gov can't wait to embrace Bitcoin.

Urban Roman's picture

.. or that Bitcoin was an evil .gov idea all along.

Seer's picture

That "861" is USD?

My life became much clearer the day I gave up hope, hoping that "technology" would save mankind.

BTW - I've always poo-poo'd any notion of there being a NWO (though I've never stated that I don't believe that there are folks desiring one).  The EROEI pretty much dooms it.  Mother Nature's physical world calls the shots.

Diplodicus Rex's picture

Was that a knock I heard at the door?

Diplodicus Rex's picture cant come in.......... Ooh, ah, yes, well, please, feel free. Can I offer you a cup of coffee or would you prefer something stronger? No.. well how can i be of serv....Ah, yes, I get the picture....Well, it was nice speaking to you guys.........Take care........ Watch the step......Good night.


Oh shit...........Larry - cancel that order. Now. Just do it...don't ask.

frankTHE COIN's picture

If you like your Bit Coin, you can't keep your Bit Coin.

Id fight Gandhi's picture

Eh, not really genie out of the bottle now.

Ban in it one country and you go to another to cash out. Fun times.

ElvisDog's picture

you go to another

You mean you physically get on a plane? Because if not, your Internet traffic is going through government routers and your keystrokes are being monitored. This story is significant, because it's clear that the Oligarchs are tightening the screws.

Citxmech's picture

Yeah - there's a point where all the secret-squirrel stuff will become just too much of a PITA.  At what point will physical actually be easier to handle than BC?  

CH1's picture

Yeah, stay in bed and keep servicing the cartel.