Shift in House Financial Services Committee Leadership
The retirement announcement of U.S. Rep. Blaine Luetkemeyer (R-Mo.) at the end of 2024 could have significant implications for the future of cryptocurrency regulation. Luetkemeyer, who currently serves on the House Financial Services Committee, had expressed interest in taking over as chairman when Patrick McHenry's term ends in early 2025. However, with Luetkemeyer stepping down, Rep. French Hill (R-Ark.) is now a top contender for the chairmanship, bringing the potential for a more crypto-friendly approach to the committee's leadership.
Rep. French Hill's Crypto Involvement
Rep. French Hill, vice-chairman of the House Financial Services Committee, has been actively involved in crypto-related legislation, particularly in relation to stablecoins. Hill is known for leading the committee's digital assets panel and has expressed his intent to introduce and pass two crypto regulation bills in early 2024. Ron Hammond, Director of Government Relations at the Blockchain Association, has praised Hill's bipartisan approach and his recognition of the importance of cryptocurrency as a viable asset class.
The Future of Crypto Regulation
With Rep. Hill's potential ascent to the chairmanship of the House Financial Services Committee, there is optimism among crypto enthusiasts that the committee's focus on cryptocurrency will continue to grow. Hill has emphasized the need to create a framework that facilitates innovation in the crypto space, recognizing the demand from institutional investors and consumers. If elected as chairman, Hill aims to prevent engagement in crypto from moving offshore by providing a favorable regulatory environment.
Other Contenders for the Chairmanship
While Rep. Hill is seen as a top contender for the House Financial Services chair position, there are other potential candidates. Rep. Bill Huizenga (R-Mich.) and Rep. Andy Barr (R-Ky.) are also in the running, although their chances may depend on the outcome of the upcoming elections and whether Republicans retain control of the House. The GOP Steering Committee will consider various factors, including legislative performance and fundraising capabilities, when deciding on the replacements for Luetkemeyer and McHenry in 2025.
Conclusion
The retirement of Rep. Blaine Luetkemeyer presents an opportunity for a more crypto-friendly leadership in the House Financial Services Committee. Rep. French Hill, known for his involvement in crypto-related legislation, is a top contender for the chairmanship. With a potential shift in leadership, there is hope that the committee will continue to prioritize and support the growth of the cryptocurrency industry.
Frequently Asked Questions
What are the fees associated with an IRA for gold?
The Individual Retirement Account (IRA), fee is $6 per monthly. This includes the account maintenance fees and any investment costs associated with your chosen investments.
Diversifying your portfolio may require you to pay additional fees. The type of IRA you choose will determine the fees. Some companies offer free checking, but charge monthly fees for IRAs.
Most providers also charge an annual management fee. These fees range from 0% to 1%. The average rate is.25% per year. These rates are often waived if a broker like TD Ameritrade is used.
What Should Your IRA Include in Precious Metals?
The most important thing you should know when investing in precious metals is that they are not just for wealthy people. It doesn't matter how rich you are to invest in precious metals. There are many ways to make money on silver and gold investments without spending too much.
You might consider purchasing physical coins, such as bullion bars and rounds. It is possible to also purchase shares in companies that make precious metals. Another option is to make use of the IRA rollover programs offered by your retirement plan provider.
Regardless of your choice, you'll still benefit from owning precious metals. These metals are not stocks, but they can still provide long-term growth.
And unlike traditional investments, they tend to increase in value over time. This means that if you decide on selling your investment later, you'll likely get more profit than you would with traditional investing.
Can I buy Gold with my Self-Directed IRA?
Although you can buy gold using your self-directed IRA account, you will need to open an account at a brokerage like TD Ameritrade. If you have an existing retirement account, you can transfer funds to another one.
Individuals can contribute as much as $5,500 per year ($6,500 if married filing jointly) to a traditional IRA. Individuals are allowed to contribute $1,000 each ($2,000 if married or filing jointly) to a Roth IRA.
You might want to purchase physical bullion, rather than futures contracts if you are going to invest in gold. Futures contracts are financial instruments based on the price of gold. They let you speculate on future price without having to own the metal. You can only hold physical bullion, which is real silver and gold bars.
What are the benefits of a Gold IRA?
The best way to invest money for retirement is by putting it into an Individual Retirement Account (IRA). You can withdraw it at any time, but it is tax-deferred. You are in complete control of how much you take out each fiscal year. And there are many different types of IRAs. Some are better suited for college students. Some are better suited for investors who want higher returns. Roth IRAs permit individuals to contribute after the age 59 1/2. Any earnings earned at retirement are subject to tax. The earnings earned after they withdraw the funds aren't subject to any tax. This account may be worth considering if you are looking to retire earlier.
The gold IRA allows you to invest in different asset classes, which is similar to other IRAs. Unlike a regular IRA you don't need to worry about taxes while you wait for your gains to be available. This makes gold IRA accounts excellent options for people who prefer to keep their money invested instead of spending it.
Another benefit of owning gold through an IRA is that you get to enjoy the convenience of automatic withdrawals. You won't have the hassle of making deposits each month. Direct debits could be set up to ensure you don't miss a single payment.
Finally, gold is one of the safest investment choices available today. Its value is stable because it's not tied with any one country. Even during economic turmoil the gold price tends to remain fairly stable. This makes it a great investment option to protect your savings from inflation.
What are the pros & con's of a golden IRA?
An Individual Retirement account (IRA) is a better option than regular savings accounts in that interest earned is exempted from tax. An IRA is a great option for those who want to save money, but don't want tax on any interest earned. But, this type of investment comes with its own set of disadvantages.
You may lose all your accumulated savings if you take too much out of your IRA. The IRS may prohibit you from withdrawing funds from your IRA before you are 59 1/2 years of age. If you do withdraw funds from your IRA you will most likely be required to pay a penalty.
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.
If you prefer to keep your money outside a bank, you'll need to purchase insurance. A majority of insurance companies require that you possess a minimum amount gold to be eligible for a claim. Insurance that covers losses upto $500,000.
If you are considering a Gold IRA, you need to first decide how much of it you would like to use. Some providers limit the amount of gold that you are allowed to own. Others let you pick your weight.
You will also have to decide whether to purchase futures or physical gold. Physical gold is more expensive than gold futures contracts. Futures contracts, however, allow for greater flexibility in buying gold. You can set up futures contracts with a fixed 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. However, it does cover damage caused by natural disasters. You might consider purchasing additional coverage if your area is at high risk.
Insurance is not enough. You also need to think about the cost of gold storage. Storage costs will not be covered by insurance. Banks charge between $25 and $40 per month for safekeeping.
You must first contact a qualified custodian before you open a gold IRA. A custodian is responsible for keeping track of your investments. They also ensure that you adhere to federal regulations. Custodians don't have the right to sell assets. Instead, they must maintain them for as long a time as you request.
Once you've decided which type of IRA best suits your needs, you'll need to fill out paperwork specifying your goals. You should also include information about your desired investments, such as stocks or bonds, mutual funds, real estate, and mutual funds. It is also important to specify how much money you will invest each month.
You will need to fill out the forms and send them to your chosen provider together with a check for small deposits. The company will review your application and send you a confirmation letter.
If you are thinking of opening a gold IRA for retirement, a financial professional is a great idea. Financial planners are experts at investing and can help you determine which type of IRA is best for you. You can also reduce your insurance costs by working with them to find lower-cost alternatives.
Do you need to open a Precious Metal IRA
The most important thing you should know before opening an IRA account is that precious metals are not covered by insurance. There are no ways to recover the money you lost in an investment. This includes all investments that are lost to theft, fire, flood, or other causes.
This type of loss can be avoided by investing in physical silver and gold coins. These items have been around thousands of years and are irreplaceable. You would probably get more if you sold them today than you paid when they were first created.
Consider a reputable business that offers low rates and good products when opening an IRA. You should also consider using a third party custodian to protect your assets and give you access at any time.
You won't get any returns until you retire if you open an account. Remember the future.
Statistics
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- 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)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- 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)
- (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)
External Links
law.cornell.edu
- 7 U.S. Code SS7 – Designation board of trade as contract marketplaces
- 26 U.S. Code SS 408 – Individual retirement accounts
investopedia.com
wsj.com
- Saddam Hussein's InvasionHelped Uncage a Bear In 1991 – WSJ
- Want to Keep Gold in Your IRA at Home? It's not exactly legal – WSJ
bbb.org
How To
A growing trend: Gold IRAs
The gold IRA trend is growing as investors seek ways to diversify their portfolios while protecting against inflation and other risks.
Gold IRA owners can now invest in physical gold bullion or bars. It can be used for tax-free growth and provides an alternative investment option for those concerned about stocks and bonds.
Investors can manage their assets with a gold IRA without worrying about market volatility. They can also use the gold IRA as a protection against potential problems like inflation.
Investors also enjoy the benefits of owning physical gold, which includes its unique properties such as durability, portability, and divisibility.
Additional benefits of the gold IRA include the ability to quickly pass ownership to heirs. Additionally, the IRS does not consider gold a money or a commodity.
All this means that the gold IRA is becoming increasingly popular among investors seeking a haven during financial uncertainty.
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By: David Sencil
Title: Luetkemeyer’s Retirement Paves the Way for Crypto-Friendly Leadership in House Banking Committee
Sourced From: news.bitcoin.com/luetkemeyers-exit-sets-up-potentially-crypto-friendly-turn-in-house-banking-committee/
Published Date: Mon, 08 Jan 2024 22:30:04 +0000
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