Which bank enabled crypto ETP advice?

TLDR

Bank of America enabled its wealth advisers to recommend crypto exchange-traded products to clients. This policy begins January 5 and covers all wealth channels at the bank per a Reuters-syndicated report on Yahoo Finance announcement.

1. Applies to Bank of America Private Bank, Merrill, and Merrill Edge per the announcement.
2. Shifts staff from order execution to active advice on crypto ETPs per the report.
3. Guidance suggests a modest 1% to 4% allocation range for interested clients per the banks CIO cited by Forbes.

Deep Dive

1. Who And What Changed

The move is from Bank of America, which will allow advisors to recommend crypto ETPs starting January 5 across its wealth units. This extends beyond prior limited access and formalizes advice rather than just facilitating orders, according to the Reuters-syndicated announcement.

This change covers Bank of America Private Bank, Merrill, and Merrill Edge, expanding crypto ETP access for a broader client base per the same announcement.

2. Why It Matters

This shift puts one of the largest U.S. banks squarely in the advisory lane on crypto, potentially normalizing modest allocations within mainstream portfolios. It moves crypto from a niche request to something advisors can proactively discuss, as framed in the report.

For clients, advice-enabled access may improve portfolio fit and risk framing compared with ad hoc demand. The banks CIO guidance points to a small 1% to 4% sleeve for those comfortable with volatility, per Forbes.

3. Guardrails And Scope

The policy is advice on exchange-traded products, not direct token custody or on-chain assets. It emphasizes liquidity and regulated wrappers, aligning with how traditional firms manage operational and compliance risk, per the announcement.

Suitability still matters. The suggested 1% to 4% allocation is for investors willing to tolerate higher volatility and should be considered in context of objectives and capacity for loss, per Forbes.

Conclusion

Bank of Americas shift to enable crypto ETP advice is a meaningful step toward mainstreaming digital assets within traditional wealth management. The policy formalizes suitability-driven guidance, keeping exposure small, liquid, and inside regulated wrappers, which can help investors weigh potential diversification benefits against volatility using a professional advisory framework.