Published November 11, 2022
Custody Options at Choice
An update based on recent market dynamics
Originally posted on the Choice Blog: https://blog.choiceapp.io/custody-options-at-choice-fdc32cd20d50
No client funds are impacted by last week’s events — we have no exposure to FTX, FTT or Alameda.
No client funds are impacted by this week’s events with Gemini Earn / Genesis.
Last week, out of an abundance of caution we paused the in-motion (lending) piece of our no annual fee option; and moved all previously enrolled assets into cold storage. After further assessment — we are making that pause indefinite.
All clients who were in the No Annual Fee option will receive cold storage at no additional expense for the next 30 days, after which time any digital assets still in cold storage will incur the normal 1% annual fee.
Choice clients who would like to eliminate 3rd party custody risk are encouraged to drop their email here to be contacted about our Hold Your Own Keys option.
As we wrote in 2020 when we first launched, we created Choice to help the (then) 7.1 million bitcoin owners who have a retirement account with dollars in it, but not bitcoin, get access to bitcoin with their tax-advantaged retirement savings.
We’re here to let you do retirement your way, with ultimate choice. For us one of, if not the most important choice we offer clients is in how to custody their digital assets.
So much so that we were the first major self-directed retirement account provider to offer the option to Hold Your Own Keys.
With this option, you hold the keys to your digital assets however you choose, eliminating 3rd party custody risk. Most clients who opt for this package work with industry leading multi-sig providers like Casa and Unchained.
As bitcoiners, we have always believed this is where the industry will eventually head as a whole — when and where possible, eliminating third party custody risk — and after the last 10 days, we expect that trend to accelerate and highly encourage anyone interested in Holding Your Own Keys to get in touch to learn more.
On the other end of the spectrum, we were also the first to offer a no annual fee account, for fee-sensitive clients who would like to put their digital assets to work, to offset the normal cost of custody.
Last week, out of an abundance of caution, we made the decision to pause the in-motion (lending) program and move enrolled assets into cold storage. After further assessment, this pause is indefinite.
All clients who were in the No Annual Fee option will receive cold storage at no additional expense for the next 30 days, after which time any digital assets still in cold storage will incur our normal 1% annual fee (billed monthly at 0.0833%).
We will explore re-opening this option at a later date when market dynamics improve and will communicate any such changes ahead of time.
What’s Next?
We are still on the same mission we set out on over two years ago — to build the best retirement account on the planet for bitcoiners and help solve the savings crisis in America.
We are more confident than ever that we are building something worthwhile, and remain committed to giving you more control over how you save for your future.
As always, thanks for being a part of the Choice community, we do this for you — so please don’t hesitate to reach out with any comments or feedback.
None of the prior or related text is offered as or meant to be considered financial advice. Kingdom Trust is an independent qualified custodian under the Investment Advisers Act of 1940, as amended, and 26 USC 408. Kingdom Trust is registered and regulated in the state of South Dakota and does not provide, promote, endorse or sell investment products and does not endorse or promote any individual investment advisor or investment sponsor. The information provided here is intended to be educational and informational in nature and should not be construed as anything else.