Bank of America Endorses Up to 4% Crypto Allocation in Major Policy Shift

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Bank of America has formally issued guidance recommending that its wealth management clients consider allocating between 1% and 4% of their portfolios to cryptocurrencies. This significant shift aligns one of the nation’s largest advisory networks with Wall Street’s increasing acceptance of digital assets.

According to a report from Yahoo Finance, beginning on January 5, 2026, the bank’s Chief Investment Office will also initiate formal coverage of four spot Bitcoin ETFs. The products set for coverage include Bitwise BITB, Fidelity FBTC, the Grayscale Bitcoin Mini Trust, and BlackRock’s IBIT.

In a statement, Private Bank Chief Investment Officer Chris Hyzy was quoted stating that a modest allocation “may be appropriate” for clients who are comfortable with higher volatility. He added that the bank’s new framework emphasizes regulated products and a diversified implementation approach.

This policy change overturns Bank of America’s previous stance, which prohibited advisers from proactively recommending crypto investments unless a client explicitly asked for access. That restriction effectively sidelined the bank’s more than 15,000 financial advisers during a period of accelerating demand for digital assets.

More broadly, this move positions Bank of America alongside peer institutions that have recently established formal cryptocurrency allocation guidance for investors.