Quick Breakdown
- BAC recommends 1–4% crypto allocation for Merrill, BofA Private Bank, and Merrill Edge clients.
- Starting January 5, advisers can formally recommend four regulated bitcoin ETFs, expanding institutional-grade access.
- Move bridges traditional wealth management and digital assets, while BofA explores cautious entry into stablecoins.
Bank of America (BAC) is advising its wealth management clients to consider a modest allocation to digital assets, signalling increasing mainstream acceptance of cryptocurrencies. The firm recommends allocating 1% to 4% to crypto for clients on the Merrill, Bank of America Private Bank, and Merrill Edge platforms, emphasizing regulated exposure and risk awareness.
Bank of America is now advising its wealth clients to add a bit of crypto to their portfolios.
Even traditional finance can’t ignore where the future is heading. pic.twitter.com/3MSQIjC9Ba
— Lucky (@LLuciano_BTC) December 2, 2025
Regulated Crypto ETFs Now Accessible
Starting January 5, Bank of America’s investment strategists will cover four bitcoin-focused ETFs: the Bitwise Bitcoin ETF (BITB), Fidelity’s Wise Origin Bitcoin Fund (FBTC), Grayscale’s Bitcoin Mini Trust (BTC), and BlackRock’s iShares Bitcoin Trust (IBIT). Previously, clients could access these products only on request, leaving many retail investors with limited options for regulated crypto exposure. The update allows the bank’s network of over 15,000 wealth advisers to formally recommend these vehicles, widening access to institutional-grade crypto products.
Targeting thematic innovation with risk awareness
Chris Hyzy, Chief Investment Officer at Bank of America Private Bank, said the allocation is suitable for investors comfortable with elevated volatility and seeking thematic innovation. “Our guidance emphasizes regulated vehicles, thoughtful allocation, and a clear understanding of both the opportunities and risks,” he said.
Nancy Fahmy, head of the bank’s investment solutions group, noted that the move reflects growing client demand for digital assets.
“This update provides a structured pathway for clients to gain regulated crypto exposure,”
she said, highlighting the bank’s commitment to integrating digital assets into mainstream wealth management.
The move marks a meaningful step toward bringing digital assets into the mainstream of traditional finance. With clear guidance and regulated investment options now in place, Bank of America is helping narrow the gap between conventional wealth management and the crypto ecosystem, a sign that both institutional and retail adoption are moving into a new phase.
Additionally, Bank of America is preparing to enter the stablecoin market, taking a cautious approach that prioritizes client demand while awaiting clear regulatory guidance.
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