Buy Bitcoin for retirement plan

The no-brainer crypto investment option is Bitcoin, which has an incredible track record of outperforming the broader market. From 2011 to 2021, for example, Bitcoin was the top-performing asset in the world, and it wasn't even close. Bitcoin delivered annualized returns of 230% per year. The next best asset class -- tech stocks -- delivered just 20% per year. While that type of performance will be difficult to replicate going forward, Bitcoin delivered returns of 150% last year, and is up 60% through the first five months of 2024.

With Bitcoin currently trading near its all-time high of $73,750, the big question on the minds of many investors is just how much higher it can go. Some have suggested that Bitcoin could hit $150,000 by the end of 2025. And Cathie Wood of Ark Invest has suggested that Bitcoin could soar to $1 million by 2030. If your retirement horizon is 10, 20, or even 30 years away, the sky's the limit for just how much higher Bitcoin might go.

There's one more factor that makes Bitcoin particularly compelling from a retirement planning perspective: the launch of new spot Bitcoin ETFs in January. Prior to this year, using crypto to save for retirement was pretty much a patchwork, DIY project. It was complicated and not efficient because there was no standardized crypto investment product that individual investors could use for retirement. Now there is. And the thinking now is that Bitcoin ETFs are going to start showing up more and more as options in retirement savings plans.