The transfer of your Crypto IRA from Alto Trust to Public.com's custodian is structured as a direct trustee-to-trustee transfer of assets within a qualified retirement account.
This type of administrative migration is not considered a taxable event and would not result in any immediate tax implications or trigger an early distribution penalty. Your cost basis for your assets will be maintained in the new account.
Keep in mind that any distributions made from your IRA not relating to the direct migration will still be reported as required by IRS guidelines.
Crypto IRAs are self-directed individual retirement accounts offered and custodied by Alto Trust Co, a New Mexico trust company. Information about retirement accounts on Public is for educational purposes only and is not tax or investment advice. Visit the IRS website for more information on the limitations and tax benefits of IRAs. Crypto is highly speculative and involves significant risk, including loss of principal. Cryptocurrencies are not protected by FDIC or SIPC. See our Crypto Risk Disclosures for additional information.
Self-directed individual retirement accounts are offered by Public Investing, a registered broker-dealer and member of FINRA & SIPC. Information about retirement accounts on Public is for educational purposes only and is not tax or investment advice. Consult your tax advisor for individual considerations. Visit the IRS website for more information on the limitations and tax benefits of Traditional and Roth IRAs. Brokerage services provided by Open to the Public Investing Inc, member FINRA & SIPC. All investing involves risk.