r/BitcoinAUS • u/NazaresCh • Aug 26 '26
Buying bitcoin with SMSF funds in Australia
Hello Everyone,
What is the best exchange un Australia to buy bitcoin currently? I am not new in crypto and usually use kucoin, but doing the smsf for the first time, and can I lets say buy a bitcoin from kucoin for example and then transfer it to my cold wallet, does that still comply with SMSF regulations and laws? Appreciate any advise
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u/Ill-Inside-7537 Aug 26 '26
It was pretty straight forward with Independent Reserve. Set up a SMSF account with them, not an individual account. Transfer money to exchange, buy Bitcoin, transfer to cold wallet. It all complies when it’s audit time. You just give them your public key as proof of purchase. Done.
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u/NazaresCh Aug 26 '26
Do you mean you give them the bitcoin address on the exchange and maybe the address on the wallet?
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u/Ill-Inside-7537 Aug 26 '26
Not quite. Look up what XPub is. It’s your extended public key. You will find your XPub in your crypto wallet app that is paired with your cold wallet. It’ll be under the settings somewhere. With this, people can check which addresses you used for transactions. They will see your Bitcoin purchase, this is your proof of purchase.
No one can do anything with your XPub except see your addresses. They can’t steal your Bitcoin.
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u/dnzz60 Aug 26 '26 edited Aug 26 '26
Check with your SMSF accountant (I am one). If they use particular software (such as BGL, Class), find out what software integrates with crypto platform, such as Syla. Then your exchange such as Kraken, needs to be able to sync with Syla.
If you plan to stake or receive other rewards with cryptocurrency, it can important to have these in place because there can be a lot of transactions to keep a record of.
Make sure it is all registered in the name of the fund (and kept very separate from any personal assets). If you a cold wallet, the SMSF may need to verify it (good auditors will know how but many are still catching up with the technology).
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u/Thegodfather-1 Aug 26 '26
Chat with your accountant. Sometimes they have a preferred provider for tracking, regulation etc purposes.
I use Kraken.
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u/oakstreet2018 Aug 26 '26
I’ve done this. Originally bought on Binance. Then shifted to cold wallet. I provided the Koinly tax report. I also had to provide a declaration that the SMSF service provider drafted and provide for us to execute. We then transferred back to an account I set up with Independent Reserve. Sold and transfer to our SMSF bank account. Again, provided the Koinly report and the relevant statements from Independent Reserve. No issues and our accounts passed audit at all times. Make sure your accounts with the exchanges are in your SMSF name, not individual.
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u/brando2131 Aug 27 '26
Why sell? It's an SMSF for retirement, hold it for 10-30 years lol
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u/oakstreet2018 Aug 27 '26
We sold after Trump was elected. Made about 40-50%. Then bought a property. I’m might consider it again in the future.
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u/Capevlamingh Aug 27 '26
There’s taking risk then there’s investing your super in crypto
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u/Thin_Reason2680 Aug 28 '26
Which raises the risk, compound interest for retirement unless left it late
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u/mr__0tter Aug 26 '26
BTCMarkets very good, they've been around for ages too.
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u/RandomCharacters6 Aug 27 '26
They leaked customers full names via marketing emails CC'ing all customers. I won't ever use them again.
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u/Jitterbugs699 Aug 26 '26
You could just buy a ASX listed Bitcoin ETF like IBIT.AX. There's a 0.39% MER but it removes management and tax reporting hastles and generally makes the SMSF admin cheaper.
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u/BringTheFingerBack Aug 26 '26
With the recent cold wallet mass hack it's starting to look like IBTC or Vbtc might be the safer option.
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u/ThrowRA_mesaynobj Aug 26 '26
Buy the etf version it’s safer.
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u/Efficient_Range1156 Aug 26 '26
No way self custody is king
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u/Octopus_vagina Aug 26 '26
I’d say for most people, etf is the best and safest way to get exposure. Unless you think an ETF is going to somehow engage in corruption, fraud or lose its own wallet keys….
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Aug 27 '26
[deleted]
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u/antns Aug 30 '26
Why would an ETF have wallet keys when ETFs are derivatives?
The risk is the collapse of the exchange or broker, and management fees would be an issue too.1
Aug 31 '26
[deleted]
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u/antns Sep 01 '26
I hadn't realised that spot ETFs exist, as well as derivatives ETFs. Indeed, the former could potentially lose their keys.
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u/Professional_Size969 Aug 26 '26
Any Australian based one.
Swyftx especially has strong (human) support for SMSF customers.
Biggest issue is the banks. Very limited in SMSF friendly bank accounts that won’t block transfers to crypto exchanges.
Grow SMSF has a solution that specific support BTC and cold wallets
https://growsmsf.com.au/cryptocurrency-smsf/
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u/Historical-Bad-7946 Aug 27 '26
Came here to say have a chat with GrowSMSF then saw this comment. Another vote for GrowSMSF, they found me a solution too.
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u/SuitableAssist7194 Sep 09 '26
Most Australian if not all use swyftx, it was actually a surprise thing to me when i came to the country. I asked someone if i could send something for his service and asked for his binance or bitget wallet address, but he made mention of that. And they say when you are in rome you need to behave like a roman that's how i started using it.
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u/AppropriateTie8974 Aug 27 '26
Coinspot. Very simple and thry have specific tools for SMSF. Avoid anything not based in Australia.
ALSO, be fucking careful. I got my SMSF seriously wrong and as a result... have no super. Crypto is gambling, regardless of what anyone else says.
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u/HelptheBees Aug 29 '26
Gonna be honest I've heard poor things about coinspots fees and exchange rate but may of changed by now
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u/SuckMyR0cket Aug 29 '26
What did you get seriously wrong?
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u/AppropriateTie8974 Aug 30 '26
Thinking I was the right person to manage my super was my first mistake. The second was taking too much risk. If I'd have bought bitcoin and just held it for a year, I would have tripled the balance. But no, bitcoin returns were not juicy enough for my financial genius mind. Got greedy, bought shit, watched it drop, sold out low. Same shit anyone who doesn't know what they are doing does.
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u/Quiet-Engineering635 Aug 31 '26
When btc will be 10m in 20 years why do people take risk. I can’t understand
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u/Inevitable-0246 Aug 27 '26 edited Aug 27 '26
Have been using Kraken (Pro) for SMSF for about 5 years, they know what doc an SMSF needs for an exchange account to be compliant. Also have Bitaroo as backup.
The SMSF needs to have its own exchange account and its own self custody wallet, clearly segregated from your personal ones. The SMSF will be audited on these.
No idea about Kucoin. Talk to your SMSF administrator / accountant about what’s expected to be deemed compliant.
Given the recent evolution, if you may not be particularly diligent with setting up & managing self custody wallet securely, you can consider just using an ETF like IBIT or VBTC via a brokerage account, let the fund manage it for you, for a fee.
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u/SuperlativeProphy Aug 28 '26
I'm with Stake Super and buy the Bitcoin etfs on the ASX - VBTC and QBTC. Plug below 👇
Invest your own super while Stake Super handles all the SMSF admin.
Use my referral code: georgeg798 to save $200 on your annual fee! https://hellostake.com/au/super/referral?referrer=georgeg798
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u/unfluxa Aug 28 '26
It's been a dream since starting my SMSF to buy crypto related stocks, wish I started earlier
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u/HelptheBees Aug 29 '26
BTCMarkets has been good for me for buying crypto directly and offer SMSF accounts, but I was already with them personally
Aussie and good compliance + regs afaik
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u/summ_app Aug 29 '26
whichever one you're most comfortable with. Many great options like SwyftX, Kraken, Coinspot etc
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u/NazaresCh Aug 26 '26
I kind of like the idea of buying the ETF, what brokers do you use, stake?
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u/Inevitable-0246 Aug 27 '26 edited Aug 27 '26
Our SMSF use IBKR for US and use CMC for ASX, with positions in BTC ETFs among other things. Older stack was bought via Kraken Pro and held via self custody.
The main thing is choose an SMSF administrator / accountant that does not restrict which providers (banks, brokers, exchanges) you can use, or does not charge you different fees based on which providers you use.
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u/Efficient_Range1156 Aug 26 '26
I use swyftx. Yes you can self custody your bitcoin. Better hurry because I think they are trying to clamp down on this sort of thing.
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u/daskalou Aug 26 '26
What's the justification / reasoning behind the clamping down?
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u/Professional_Size969 Aug 26 '26
Apparently it is in the interests of "consumer protection".
Last week a lot of PROPOSED changes were announced.
They want to give the ATO new powers to block rollovers (although they already can), force trustee education before starting an SMSF, make new SMSFs submit a pre-written investment strategy at registration - government apparent "consulting on quality".
Massive regulatory overreach proposed. They don't like SMSFs.
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u/Efficient_Range1156 Aug 26 '26
It’s not bitcoin/crypto specific there are heaps of articles online about it
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u/Latonya_Silva Aug 26 '26
Use other exchanges like Bybit or Paybis australia or others. I use them both and I satisfied.
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u/Internal-Play25 Aug 27 '26
If it was a good investment the experts who manage our funds would buy it for us….
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u/MiddleWhereas5753 Aug 27 '26
lmao how strange that I have outperformed these experts every year
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u/Internal-Play25 Aug 27 '26
Ooo… we have a Warren buffet here!!!!
Mr stock exchange casino royale!!!
God of gambling /r/ausfinance edition
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u/MiddleWhereas5753 Aug 27 '26
not really I just put 10% of my money into bitcoin and made enough to retire early
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u/angiebbbbb Aug 26 '26
Independent reserve