Highlights

• Volatility can strain pension payments and distort a fund’s asset allocation quickly
• Lost keys, platform failures and impersonation scams have already cost SMSF trustees their crypto
• Compliance slips such as personal wallets can turn a market shortfall into a regulatory breach

The biggest risks of crypto in an SMSF fall into broad groups: market risk from sharp price swings, operational risk from theft, lost keys and platform failure, and compliance risk when tokens are not owned and recorded correctly. The ATO says it has seen trustees lose fund crypto through theft, lost passwords and impersonation schemes, and ASIC’s Moneysmart warns that…