Spanish bank BBVA is now advising its wealthy clients to invest a portion of their portfolios in cryptocurrencies, marking a significant shift for a major financial institution .
The bank recommends that clients allocate between 3% and 7% of their investment portfolios to digital assets, depending on their risk tolerance . Currently, this advice applies to Bitcoin and Ether, with plans to include other cryptocurrencies later this year .
Philippe Meyer, head of digital and blockchain solutions at BBVA Switzerland, announced this guidance at the DigiAssets conference in London . He stated that BBVA began advising private clients on Bitcoin in September 2024 .
Meyer believes BBVA is one of the first large global banks to proactively advise wealthy clients to buy cryptocurrencies, though it has been executing client requests for crypto purchases since 2021 . In March, BBVA also received regulatory approval in Spain to offer Bitcoin and Ether trading .
This move comes as cryptocurrency prices have surged, with Bitcoin reaching a record high in May, recovering from significant lows in 2022 following collapses like that of FTX .
Despite BBVA’s new stance, regulators continue to warn about the risks of cryptocurrencies, advising investors to be prepared for potential losses . The European Securities and Markets Authority reported earlier this year that 95% of EU banks do not engage in crypto activities .
However, Meyer noted that BBVA’s clients have been receptive to the advice, suggesting that a 3% crypto allocation can boost portfolio performance without taking excessive risk
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