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Bank of America expands crypto access for wealth management clients

Yahoo Finance•December 04, 2025 at 7:25 PM•Full Content
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Detected Companies & Sentiment

Bank of America Corporation
"expanding crypto access"
8

Gist

Bank of America is expanding crypto access for wealth management clients by allowing advisors to recommend crypto ETPs starting January 5, marking a major institutional shift toward digital assets.

LLM Summary

Bank of America will enable its wealth advisers to recommend crypto exchange-traded products (ETPs) to clients starting January 5, 2026, removing asset thresholds and reflecting growing institutional adoption. The bank suggests a 1% to 4% allocation for investors comfortable with volatility, citing ETFs as safer and more compliant than direct holdings. This move follows increased regulatory optimism and institutional interest, despite recent crypto market declines.

Full Article Content

Bank of America expands crypto access for wealth management clients

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Updated Thu, December 4, 2025 at 8:23 PM GMT+1 2 min read

[BTC-USD

-1.84%](/quote/BTC-USD/ "BTC-USD")

Dec 4 (Reuters) - Bank of America (BAC) will begin allowing its wealth advisers to recommend allocations to crypto in client portfolios from ​next month, the U.S. lending giant said on Thursday, in ‌a landmark moment for the digital assets sector.

Starting January 5, advisors at Bank of America ‌Private Bank, Merrill, and Merrill Edge will be able to suggest several crypto exchange-traded products (ETPs) clients, without any asset threshold.

What allocation percentage does Bank of America recommend for crypto?

Why are institutions increasingly adopting crypto through ETFs?

How has Bitcoin's recent performance affected institutional sentiment?

What allocation does Bank of America recommend for crypto?

Clients whose assets met predetermined thresholds have had access to bitcoin ETFs since early 2024, the bank said. However, ⁠the latest move evolves ‌the role of advisors from executors of crypto orders to advisers.

As U.S. President Donald Trump continues to push regulatory ‍relief for the asset class, crypto has been benefiting from widespread institutional adoption.

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Several of these investors prefer to hold crypto via ETFs and ETPs, which provide greater liquidity ​and security, and simplified regulatory compliance compared to managing the underlying ‌asset directly.

"For investors with a strong interest in thematic innovation and comfort with elevated volatility, a modest allocation of 1% to 4% in digital assets could be appropriate," said Chris Hyzy, Chief Investment Officer for Merrill and Bank of America Private Bank.

Proponents of crypto have long championed it ⁠as a diversification tool against inflation and ​conventional assets.

However, critics warn against its volatility and ​security concerns as an asset class.

Bitcoin shed more than $18,000 in November, as a record amount of money rushed out of ‍the market, making ⁠this its largest monthly dollar loss since May 2021, when a number of cryptocurrencies collapsed.

"The link between adoption and long-term value is ⁠real but not guaranteed, and periods of speculative excess can distort prices far above true ‌utility," Merill said in a note.

(Reporting by Ateev Bhandari in ‌Bengaluru; Editing by Krishna Chandra Eluri)