Why I’m Taking Money from My 401(k) for Crypto
I’m 40 years old and I believe the world is changing quickly. My retirement money is locked up until I’m 59½, but I want a chance at higher growth sooner. That’s why I’m moving some of my 401(k) money into digital money called “crypto.”
What Is Crypto?
Crypto is like digital gold. Bitcoin, Ethereum, and Solana are popular examples. Their prices can go up or down quickly, but many people believe they’ll keep growing over time. Instead of being controlled by a single bank or government, crypto is run by computer networks all around the world.
Isn’t a 401(k) Safe?
A 401(k) can be a good tool for retirement. However, it’s often invested in traditional stocks and funds. These can grow, but maybe not as quickly as crypto. Also, I can’t freely use or move that money until I’m almost 60. By taking it out now, I do pay a penalty, but I’m also free to invest in new opportunities sooner.