Bitwage, a platform that creates “solutions for remote workers and firms looking for work and to optimally receive their wages,” has just put out the very first Bitcoin 401k ever.
According to a blog post from the group, this service has been in testing for around 10 months before they’ve released it to the public as of now. In fact, they even tested it on their own employees.
“What this means is that companies can offer employees the ability to invest traditional/pre-tax and roth/post-tax 401k dollars into Bitcoin,” the post notes.
Of course, this is only made possible thanks to what Bitwage calls a “4 way strategic collaboration between Bitwage, Leading Retirement Solutions, Kingdom Trust,” and the Winklevoss Twins’ cryptocurrency exchange, Gemini.
These groups provide the following for Bitwage:
“Leading Retirement Solutions provides the administration and recording keeping for the 401(k) program to ensure Department of Labor and IRS compliance, Kingdom Trust provides a secure and regulated custody solution, Gemini provides a secure and compliant exchange solution and Bitwage acts as a concierge for the company and employees to navigate between all four companies.”
At first, the company will limit who is able to apply. From there, they’ll help these users create their accounts and automate the rollover process to contribute to a 401k. They support Roth IRAs, 401ks, 403bs, and many more.
The incentive? For investors to see a higher return on investment than a traditional 401k, which is doable thanks to Bitcoin’s volatility.