Anyone else use AltoIRA?
Just wondering if anyone else uses this service? It allowed me to rollover my Roth IRA into a Crypto IRA. Basically moving my retirement fund from stocks in my Roth IRA and put it into a handful of crypto projects on Alto.
The reason I ask is that it makes me nervous due to the way they hold the crypto. Basically they create a Coinbase account for you and you trade through Coinbase except on the AltoIRA platform. This means all the crypto you purchase sits on Coinbase (not your keys, not your crypto, right?). When asking the Alto reps about this, this was their response:
"We want to reassure each of our CryptoIRA clients that our account agreements with Coinbase protect your retirement assets. Coinbase is required to treat assets held for the benefit of our customers as custodial assets. Moreover, Coinbase is not permitted to consider any asset held on your behalf in a digital asset wallet as their property or loaned to Coinbase. That means that regardless of Coinbase’s accounting requirements Alto customer assets do not belong to Coinbase or its creditors."
Do you (HBARbarians) think if Coinbase started to get into hot water, that I would get screwed out of my money?
Does anyone else use this service that could give me insight into their thought process on this? Are you taking any precautions, or have an exit strategy if things start looking like they may go south for Coinbase? Are you worried you may lose your assets?
Thanks for any advice.