Crypto Coverdell Education Savings Account (ESA) by Directed IRA
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T: 602.899.9396 www.directedira.com Crypto Coverdell Education Savings Account (ESA) by Directed IRA Step 1: Open Crypto ESA account with Directed IRA. Sign account agreement and provide government ID (such as driver’s license or passport). Step 2: Transfer or rollover existing retirement account funds or make a new contribution. Step 3: As part of your Crypto account application, you will authorize us to setup a Gemini trading account for your IRA. You will also authorize the initial investment amount from your Directed IRA account to fund your Gemini trading account. Step 4: You will receive an email from Gemini with login and onboarding instructions to access and use your Gemini crypto trading account where you can buy Bitcoin, Ether, Litecoin, and 40+ other Cryptocurrencies. This must be a unique email that is not already used with a personal Gemini account. Step 5: You will trade and store your cryptocurrency with your IRA owned Gemini account. INVESTMENTS: NOT FDIC INSURED . NO GUARANTEE . MAY LOSE VALUE Secure File Upload: Email Forms to: Send Mail to: Phone: (602) 899-9396 www.directedira.com/secureupload [email protected] 3033 N. Central Ave. Ste. 400 Fax: (602) 899-9641 Phoenix, AZ 85012 Directed IRA is a tradename of Directed Trust Company, an Arizona Corporation Frequently Asked Questions (FAQs) What are the fees for a Crypto Coverdell ESA? The Crypto ESA fees consist of an Annual Account Fee charged by Directed IRA of $295, a 1% per trade fee, and a one-time $50 Asset Processing Fee to fund your Gemini account. These fees are charged to your credit card on file or can be deducted from your account by Directed. Gemini's trade fee is 0.25% to 0.35% per trade. What Fees Does Gemini Charge? 0.25% – 0.35% (25-35 bps), which is Gemini’s special discounted ActiveTrader fee schedule. These fees are charged at the Gemini account level. A $1,000 trade would be subject to a fee at Gemini of $2.50 (min) to $3.50 (max) under the current Gemini active trader fee schedule. Are There Storage Fees? There is no additional fee to store your crypto on the Gemini exchange. Off-line cold storage is offered by Gemini for an annual fee of 1%. What Cryptocurrency Can I Buy? Bitcoin, Ethereum, Litecoin, and 40+ additional cryptocurrency as listed on the Gemini Exchange with new ones being added constantly. I already have an account at Directed IRA with other Self-Directed assets, can I trade crypto directly with this account? No. Crypto ESAs have a different system, compliance, and procedural processes. A separate Crypto ESA must be established at Directed to link to a Gemini crypto trading account. Can You Explain the Fees for a New Account Buying $10,000 in Crypto? The new account will be subject to the following fees. Asset Processing Fee to Fund Gemini Crypto Trading Account (Directed) $50 . 1% Trading Processing Fee (Directed) on $10,000 in trades $100 . 0.35% (max) Gemini Trade fee (active trader fee settings for account) $35 Directed Fees = $150 Gemini Fees =$35 Total = $185 2 © 2021 Directed Trust Company Crypto Coverdell Savings Account Application T: 602.899.9396 www.directedira.com Crypto Coverdell Education Savings Account (ESA) by Directed IRA IMPORTANT INFORMATION In order to help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each client who opens an account. When you open an account, we will ask for your name, physical address, date of birth, Social Security number, and other information that will allow us to identify you. We may also ask to see your driver’s license or other forms of identification. 1. Designated Beneficiary Information *Indicates a required field. Please select one: New ESA Account for a Designated Beneficiary that is under age 18 or; Existing ESA Account being transferred to Directed Trust Company, the designated beneficiary was under the age of 18 at the time of original account establishment. If designated beneficiary is over the age of 18, no new contributions can be made to this account. *First Name: ___________________________*MI:_______*Last Name: ________________________________________ *Social Security Number: _____________________________*Date of Birth:_____________________________________ Gender: Female Male Citizenship: U.S. Other (specify)_______________________ If applicable, name of referring organization, individual or promotion code: _______________________________ *Physical/ Residential Address:____________________________________________________________________________ *City: *State: *Country: *Zip:_____________ *Primary Phone: ______________________________ Type: Cell Home Business Other Phone: ________________________________Type: Cell Home Business Directed IRA Email Address: This email address will be used by Directed IRA to communicate information about your account(s). Please use the email address above for the Gemini Trading Account. I confirm that this email address is not already used with a personal Gemini Account. Please use this email address for the Gemini Trading Account. I confirm that this is a unique email that is not already used with a personal Gemini Account: _________________________________________________. Optional Mailing Address: I would like to designate the following as the mailing address. Mailing Address: City: State: Country: Zip: 2. Responsible Individual Information *Indicates a required field. *First Name: ___________________________*MI:_______*Last Name: ________________________________________ *Social Security Number: _____________________________*Date of Birth:_____________________________________ Occupation: _______________________________ The Responsible Individual is a: Parent Guardian My Contact Information is the Same as the Designated Beneficiary’s. *Physical/ Residential Address:____________________________________________________________________________ *City: *State: *Country: *Zip:_____________ 3 © 2021 Directed Trust Company Crypto Coverdell Savings Account Application *Primary Phone: ______________________________ Type: Cell Home Business Other Phone: ________________________________Type: Cell Home Business †Email Address:__________________________________________________________________________________ † Your email address will be used to communicate information about the Directed IRA account. Optional Mailing Address: I would like to designate the following as my mailing address. Mailing Address: City: State: Country: Zip: Option (This provision is effective only if checked): The responsible individual shall continue to serve as the responsible individual for the custodial account after the designated beneficiary attains the age of majority under state law and until such time as all assets have been distributed from the custodial account and the custodial account terminates. 3. Appoint a Successor Responsible Individual *Indicates a required field. *First Name: ___________________________*MI:_______*Last Name: *Social Security Number: _____________________________*Date of Birth: *Relationship: ________________________________*Phone Number: *Physical Address: *City: *State: *Country: *Zip: 4. Custodian Information (Optional) Custodian Name: Directed Trust Company Mailing Address: 3033 N. Central Ave., Ste. 400, Phoenix, AZ 85012 The Responsible Individual named above is establishing a Coverdell Education Savings Account under Section 530 of the Internal Revenue Code for the benefit of the designated beneficiary, also referred to as, the Account Owner. The Coverdell Education Savings Account is established exclusively to pay for the qualified elementary, secondary, and higher education expenses, within meaning of Section 530(b)(2), of such designated beneficiary. 5. Paper Statements (Optional) Statements will be sent annually via the email address provided above. You will need to register for online access to view these documents. Please check box ONLY if you prefer to receive paper versions of your statement and invoices. Please be aware that there is a $20 annual fee for paper statements. We will continue to use your email to communicate information about your account. 6. Beneficiary Designation Upon death of the Designated Beneficiary listed in Section 1 above, the ESA account will transfer to the individual(s) listed below. The individual(s) listed below must be under the age of 30 or have special needs when the death occurs and be a family member as defined in IRS Publication 570, Chapter 7 Coverdell Education Savings Account (ESA). 1) Name: *Other Relationship: Spouse Primary Child Date of Birth: (MM/DD/YYYY) Share Percentage % Other* 4 © 2021 Directed Trust Company Crypto Coverdell Savings Account Application 2) Name: *Other Relationship: Primary Spouse Child Date of Birth: (MM/DD/YYYY) Share Percentage % Contingent Other* 3) Name: *Other Relationship: Primary Spouse Child Date of Birth: (MM/DD/YYYY) Share Percentage % Contingent Other* The total percentage for each level of beneficiary, both primary and contingent, must equal 100%. For example: if you are designating 3 beneficiaries with rights to equal portions of the account, the amount should reflect 33.33%, 33.33% and 33.34%. If your beneficiary designation request for each level of beneficiary does not total 100%, Directed IRA will correct any excess or short-fall percentage allocation by applying the ration of the percentage actually allocated among the beneficiaries at each level. Designated