Bank Of America Opens The Door To Crypto, Joining Morgan Stanley And BlackRock

• Bank of America will offer CIO coverage for BITB, FBTC, Grayscale Mini Trust, and BlackRock IBIT starting January 5.
• The move aligns Bank of America with Morgan Stanley, BlackRock, and Fidelity guidance on digital assets.
• Bank of America clients previously had to submit special requests to access crypto ETFs.

Bank of America (BAC) is reportedly letting wealth advisers formally recommend crypto, joining Morgan Stanley, BlackRock, and Fidelity in bringing digital assets into high-net-worth portfolios.

According to a report by Yahoo Finance, Bank of America will offer CIO coverage for four Bitcoin (BTC) ETFs — Bitwise Bitcoin ETF (BITB), Fidelity’s Wise Origin Bitcoin Fund (FBTC), Grayscale’s Bitcoin Mini Trust (BTC), and BlackRock’s iShares Bitcoin Trust (IBIT) – starting January 5, next year.

BAC’s stock edged 0.3% higher in pre-market trade, with retail sentiment on Stocktwits dipping to ‘bearish’ from ‘neutral’ over the past day, accompanied by ‘low’ levels of chatter. 

Meanwhile, Bitcoin’s price recovered 2.8% over the last 24 hours after dipping below $84,000 in the previous session, wiping out nearly $1 billion in leveraged bets.

BAC Joins The Big Bank Crypto Pivot

Since the Trump administration passed the GENIUS Act in July earlier this year, banks have gradually taken a more crypto-friendly stance. On Monday, Vanguard announced that it will allow certain crypto ETFs and mutual funds on its platform.

Morgan Stanley’s global investment committee in October suggested  2% to 4% crypto allocation for investors with higher risk tolerance. Earlier in the year, BlackRock advocated an allocation of 1% to 2% to Bitcoin, while Fidelity recommended 2% to 5% for general clients and up to 7.5% for investors under 30.

Change In BAC’s Crypto Policy

The new guidance marks a shift from BAC’s previous policy, which barred advisers from proactively suggesting crypto products. Previously, clients at Merrill, the Private Bank, and Merrill Edge could access crypto ETFs only upon request. 

“For investors with a strong interest in thematic innovation and comfort with elevated volatility, a modest allocation of 1% to 4% in digital assets could be appropriate,” Chris Hyzy, chief investment officer at Bank of America Private Bank, told Yahoo Finance. “Our guidance emphasizes regulated vehicles, thoughtful allocation, and a clear understanding of both the opportunities and risks.”

Other major banks, including Charles Schwab and JPMorgan, as well as super-regional lenders like PNC, are expected to expand crypto access upon further regulatory clarity.

Read also: Bitcoin’s Price Steadies At $86,000 After $1B Liquidations – Grayscale Sees New Highs In 2026

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