Bitcoins

[Monica Barnard]

I have had a client ask if they can invest in Bitcoins.  My initial reaction was "no way".  However, there is a Bitcoin Investment Trust on the OTC market.  What do ya'll think?  Do you see this as being an allowable investment in the near future?

BTW, I have let my client know that I do not give investment advice, but I can try to keep them out of trouble

[david rigby]

Might depend on the definition of your "client" relationship: CPA? TPA? attorney? etc.  No matter what the answer is, your "do not give investment advice" comment might answer your own query.

If it were me, I would just laugh at mention of bitcoins.

 

[MoJo]

I would be leary of an actual investment in Bitcoins - being that fulfilling the part about being subject to the jurisdiction of U.S. Courts would be difficult to achieve (where exactly are "virtual" currencies held?)

But the OTC traded trust fits the "ERISA requirement - so, why not (other than it's speculative, not regulated nor consistently priced, speculative, fairly new without a track record, or really even a track, speculative, and generally "speculative" (did I mention that before).

And one should not construe any of the above as "investment" advice because 1) I don't give investment advice; and 2) I don't consider crap shoots as an investment....

[CuseFan]

if this is contemplated to be offered as a fund in which rank and file participants can invest then I would raise the fiduciary red flag. If this is an owner only plan, go for it, I've seen worse over the years.