River: A Bitcoin Brokerage Revolutionizing Secure Bitcoin Custody

How do you ensure a bitcoin-only brokerage thrives? The answer lies in offering top-tier services to a wide audience at competitive rates. This is the approach embraced by Alexander Leishman and the dedicated team at River.

The Visionary Engineer

Leishman’s journey began with an aerospace engineering degree, followed by a master’s in computer science from Stanford. His diverse experience spans from robotics and cryptography research to software security engineering at Airbnb. With a keen eye for detail, Leishman prioritizes maintaining the integrity of the "not your keys, not your coins" ethos at River.

A Commitment to Security

Leishman emphasizes the critical importance of minimizing risks in the volatile cryptocurrency landscape. He acknowledges the industry's lack of trustworthiness and emphasizes River's self-reliant approach to safeguarding client assets. By dedicating significant resources to fortifying systems and processes, River sets a new standard for secure Bitcoin custody.

Pioneering Bitcoin Advocacy

Driven by a passion for challenging centralized financial structures, Leishman delved into Bitcoin after exploring Austrian economics and Hayek's work. His early experiences in San Francisco’s thriving Bitcoin community solidified his belief in Bitcoin's transformative potential. Leishman's journey from coding bootcamp to founding River reflects his unwavering dedication to advancing Bitcoin adoption.

Innovating with River

River's unique value proposition lies in its in-house custody solutions and Lightning Network integration. By prioritizing self-built infrastructure over third-party custodians, River retains full control over service offerings. Leishman’s dual role as CEO and CTO ensures a holistic approach to product development and customer satisfaction.

Future Outlook

While Bitcoin gains traction as a store of value, River remains focused on enhancing its brokerage services. Leishman envisions a future where Bitcoin seamlessly integrates with traditional fiat systems, catering to a growing demand for efficient cross-border transactions. River's unwavering commitment to innovation positions it as a trailblazer in the evolving landscape of secure Bitcoin custodianship.

Frequently Asked Questions

What are the benefits of a gold IRA

There are many benefits to a gold IRA. It is an investment vehicle that can diversify your portfolio. You control how much money goes into each account and when it's withdrawn.

You can also rollover funds from other retirement accounts to a gold IRA. This allows you to easily transition if your retirement is early.

The best thing is that investing in gold IRAs doesn't require any special skills. They are readily available at most banks and brokerages. You don't have to worry about penalties or fees when withdrawing money.

But there are downsides. Gold is known for being volatile in the past. Understanding why you want to invest in gold is essential. Are you seeking safety or growth? Do you want to use it as an insurance strategy or for long-term growth? Only once you know, that will you be able to make an informed decision.

If you plan to keep your gold IRA indefinitely, you'll probably want to consider buying more than one ounce of gold. A single ounce will not be sufficient to meet all your requirements. You could need several ounces depending on what you plan to do with your gold.

You don’t necessarily need a lot if you’re looking to sell your gold. You can even get by with less than one ounce. But you won't be able to buy anything else with those funds.

How much should your IRA include precious metals

It's important to understand that precious metals aren't only for wealthy people. You don’t need to have a lot of money to invest. There are many ways that you can make money with gold and silver investments, even if you don't have much money.

You might think about buying physical coins such a bullion bar or round. Stocks in companies that produce precious materials could be purchased. Another option is to make use of the IRA rollover programs offered by your retirement plan provider.

You'll still get the benefit of precious metals no matter which country you live in. They are not stocks but offer long-term growth.

Their prices are more volatile than traditional investments. So, if you decide to sell your investment down the road, you'll likely see more profit than you would with traditional investments.

What tax is gold subject in an IRA

The fair value of gold sold to determines the price at which tax is due. When you purchase gold, you don't have to pay any taxes. It is not income. If you sell it after the purchase, you will get a tax-deductible gain if you increase the price.

For loans, gold can be used to collateral. When you borrow against your assets, lenders try to find the highest return possible. In the case of gold, this usually means selling it. It's not guaranteed that the lender will do it. They may hold on to it. They might decide to sell it. Either way, you lose potential profit.

You should not lend against your gold if it is intended to be used as collateral. You should leave it alone if you don't intend to lend against it.

What are the pros and disadvantages of a gold IRA

An Individual Retirement account (IRA) is a better option than regular savings accounts in that interest earned is exempted from tax. This makes an IRA a great choice for people who are looking to save money but don’t want to pay any tax on the interest earned. This type of investment has its downsides.

For example, if you withdraw too much from your IRA once, you could lose all your accumulated funds. You might also not be able to withdraw from your IRA until the IRS deems you to be 59 1/2. A penalty fee will be charged if you decide to withdraw funds.

Another problem is the cost of managing your IRA. Many banks charge between 0.5% and 2.0% per year. Other providers may charge monthly management fees, ranging between $10 and $50.

Insurance will be required if you would like to keep your cash out of banks. Insurance companies will usually require that you have at least $500,000. You may be required by some insurers to purchase insurance that covers losses as high as $500,000.

You will need to decide how much gold you wish to use if you opt for a gold IRA. Some providers limit the amount of gold that you are allowed to own. Others let you pick your weight.

It's also important to decide whether or not to buy gold futures contracts. Physical gold is more costly than gold futures. Futures contracts, however, allow for greater flexibility in buying gold. They enable you to establish a contract with an expiration date.

You also need to decide the type and level of insurance coverage you want. The standard policy does NOT include theft protection and loss due to fire or flood. It does provide coverage for damage from natural disasters, however. You might consider purchasing additional coverage if your area is at high risk.

You should also consider the cost of storage for your gold. Insurance won't cover storage costs. In addition, most banks charge around $25-$40 per month for safekeeping.

To open a IRA in gold, you will need to first speak with a qualified custodian. A custodian helps you keep track of your investments, and ensures compliance with federal regulations. Custodians cannot sell your assets. Instead, they must keep your assets for as long you request.

Once you have chosen the right type of IRA to suit your needs, it is time to fill out paperwork defining your goals. The plan should contain information about the types of investments you wish to make such as stocks, bonds or mutual funds. The plan should also include information about how much you are willing to invest each month.

After completing the forms, send them along with a check or a small deposit to your chosen provider. After reviewing your application, the company will send you a confirmation mail.

If you are thinking of opening a gold IRA for retirement, a financial professional is a great idea. A financial planner is an expert in investing and can help you choose the right type of IRA for you. They can also help you lower your expenses by finding cheaper alternatives to purchasing insurance.

Can I have physical gold in my IRA

Not only is gold paper currency, but it's also money. It's an asset that people have used for thousands of years as a store of value, a way to keep wealth safe from inflation and economic uncertainty. Gold is a part of a diversified portfolio that investors can use to protect their wealth from financial uncertainty.

Today, Americans prefer precious metals like silver and gold to stocks and bonds. Even though owning gold is not a guarantee of making money, there are many reasons why you might want to add gold to your retirement savings portfolio.

Another reason is the fact that gold historically has performed better than other assets in times of financial panic. The S&P 500 declined 21 percent during the same period. Gold prices increased nearly 100 per cent between August 2011 – early 2013. During these turbulent market times, gold was among few assets that outperformed the stocks.

Another advantage of investing in gold is that it's one of the few assets with virtually zero counterparty risk. Your shares will still be yours even if your stock portfolio drops. Gold can be worth more than its investment in a company that defaults on its obligations.

Gold provides liquidity. You can sell your gold at any time without worrying about finding a buyer, which is a major advantage over other investments. Gold is liquid and therefore it makes sense to purchase small amounts. This allows for you to benefit from the short-term fluctuations of the gold market.

Statistics

Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
(Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
You can only purchase gold bars at least 99.5% purity. (forbes.com)
Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)

External Links

How To

3 Ways to Invest in Gold for Retirement

It's important to understand how gold fits in with your retirement plan. There are several options to invest in precious metals if your employer has a 401k. You might also consider investing in gold outside your workplace. A custodial account can be opened by a brokerage firm like Fidelity Investments if you already have an IRA. You may also want to purchase precious metals from a reputable dealer if you don’t already have them.

These are three simple rules to help you make an investment in gold.

Buy Gold with Cash – Avoid using credit cards or borrowing money to fund investments. Instead, deposit cash into your accounts. This will help to keep your purchasing power high and protect you against inflation.
Physical Gold Coins to Own – Physical gold coin ownership is better than having a paper certificate. The reason is that it's much easier to sell physical gold coins than certificates. There are no storage fees for physical gold coins.
Diversify your Portfolio. This means that you should diversify your wealth by investing in different assets. This will reduce your risk and give you more flexibility in times of market volatility.

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By: Frank Corva
Title: River: A Bitcoin Brokerage Revolutionizing Secure Bitcoin Custody
Sourced From: bitcoinmagazine.com/business/river-a-bitcoin-brokerage-built-from-the-ground-up
Published Date: Tue, 20 Aug 2024 20:32:26 GMT