Bank of America Allows 4% Crypto Allocation

• Lyla Velez
• January 5, 2026
• Investment
• 0 Comments

Bank of America will permit its wealth advisors to recommend a 1% to 4% portfolio allocation in digital assets for clients from January 5, 2026, focusing mainly on Bitcoin.

The decision marks a significant shift in Bank of America’s strategy, highlighting growing acceptance of digital assets. Markets may see increased Bitcoin interest due to this new BofA advisory position.

The new strategy from Bank of America signifies a key moment as wealth advisors at several platforms can recommend up to 4% allocations to digital assets, such as Bitcoin and ETFs from January 2026.

Chris Hyzy, Chief Investment Officer, Bank of America Private Bank, “For investors having a strong interest in thematic innovation along with comfort with elevated volatility, a slight allocation of 1% to 4% within digital assets could be apt.”

Bank of America’s wealth management brands, including Merrill and Merrill Edge, are guiding clients toward thematic innovation and risk-based portfolio adjustments. Over 15,000 advisors will handle $1.7 trillion in assets under management.

Bitcoin is the primary focus, with its price previously reaching $91,600. The allocation guidance aims to cater to clients keen on thematic growth, despite recent crypto price volatility.

By encouraging investment in Bitcoin and related ETFs, potential market impacts include increased capital inflow into crypto sectors. Advisors aim to strategically balance potential gains and the inherent volatility of digital currencies.

Historical trends in crypto investments show an increasing trend toward mainstream acceptance. As seen with Fidelity’s past guidance, institutional investors seek diversification opportunities in digital assets like Bitcoin.