The U.S. Securities and Exchange Commission (SEC) has warned Americans over the risk of including assets like cryptocurrencies in their self-directed individual retirement accounts (IRAs) as well as unregulated trading platforms posing as exchanges.
Some self-directed IRAs offer investment in crypto assets like tokens, coins, and virtual currencies. Such assets “may be securities that are offered without SEC registration or a valid exemption from registration, and may not be accompanied by complete or accurate information to aid investors in making informed decisions,” the SEC said in a Feb. 7 alert.
“In addition, many of the trading platforms for these crypto assets refer to themselves as ‘exchanges’, which may give investors the misimpression that they have registered with the SEC.”…