Bank of America allows wealth advisors to recommend that clients allocate up to 4% of their assets to Bitcoin.

According to Odaily Planet Daily, Bank of America, one of the largest financial institutions in the United States, has allowed its wealth management advisors to recommend clients allocate 1% to 4% of their assets to crypto assets. This policy will be implemented starting in January next year.

Chris Hyzy, Chief Investment Officer of Bank of America Private Bank, suggests that a moderate allocation of 1% to 4% to digital assets might be appropriate for investors with a strong interest in thematic innovation and a tolerance for higher volatility. A lower allocation is suitable for risk-conservative investors, while a higher allocation is better suited for those who can tolerate greater overall portfolio risk.

Bank of America's advisors will initially focus on four spot Bitcoin ETFs: BlackRock's IBIT, Fidelity's FBTC, Bitwise's BITB, and Grayscale's BTC. This move aligns Bank of America with the wealth management platforms of major institutions like BlackRock and Morgan Stanley, potentially increasing pressure on those still waiting to see what happens. This announcement comes hours after asset management giant Vanguard also announced it would allow its clients access to crypto ETFs.