Frequently Asked Questions
Cryptocurrency is a complex topic and when considering investing your superannuation it is highly recommended to do lots of research.
We’ve included information below with some of the most common questions we get.
Is Bitcoin taxed in Australia?
Yes, Bitcoin is taxed in Australia and it’s constantly undergoing change. We highly recommend looking at the ATO for the most up to date information and speaking to a financial advisor or accountant.
At the moment, tax depends on a number of factors including the frequency of trading which would classify you as an investor or trader each of which change the way you are taxed.
How do I get Cryptocurrency in Australia?
In Australia you get Cryptocurrency through Cryptocurrency exchanges, just like stock exchanges. These platforms allow you to sign up, connect up your bank account and deposit AUD.
Cryptocurrency & Diversification In Your Self Managed Super Fund
From there you can buy/sell/trade any Cryptocurrency and you can even transfer it to international exchanges for better fee rates.
What’s the best site to buy Cryptocurrency?
The best site to buy cryptocurrency is, in our opinion, Swyftx. They have 70+ cryptocurrencies to choose from and the setup is pretty easy.
That being said, definitely have a look at our full comparison of the best exchanges in Australia for more information on the options available.
Where should I store my Cryptocurrency?
If you are investing your superannuation into Cryptocurrency it’s most likely that you won’t be frequently trading but rather holding your Cryptocurrencies for a long period of time.
In this case we would highly recommend using a hardware wallet such as the Ledger Nano X, this is a safe device to keep your Crypto.
You can keep your Cryptocurrency on the exchange you bought it from but this isn’t recommended, there is a chance that the exchange can go bust and your funds will be lost. This has happened in the past to quite a few exchanges so it’s smart to play it safe and store it on a hardware wallet.
What is a crypto wallet?
A Cryptocurrency wallet is essentially somewhere you can store your various coins in a safe digital environment.
From your wallet you have the ability to send and receive various Cryptocurrencies. Currently, exchanges have these wallets integrated into their system but it’s not recommended to keep your funds on an exchange long term as it could potentially have issues and shut down. It’s much safer to store your funds in a hardware wallet, there are plenty of options with this which you can read more about here.