BBVA Advises Clients to Allocate 3-7% of Portfolios to Crypto

BBVA, Spain’s second-largest bank, has advised its affluent clients to allocate a portion of their investment portfolios to cryptocurrencies. The bank recommends that clients invest between 3% and 7% of their portfolios in crypto and Bitcoin (BTC), depending on their desired risk exposure. This advice was given by Philippe Meyer, head of digital and blockchain solutions at BBVA Switzerland, at a conference in London. Meyer noted that clients have been receptive to the bank’s advice and that introducing 3% of crypto into a balanced portfolio can boost performance without taking on significant risk.

BBVA’s move to advise on crypto investments comes at a time when European Union regulators and the bloc’s central bank have issued warnings about the risks associated with digital assets. Despite these warnings, BBVA has been executing crypto trades since 2021 and moved to active advisory in late 2024, positioning itself ahead of most traditional banks. In March, Spain’s securities regulator allowed the bank to offer Bitcoin (BTC) and Ether (ETH) trading in the country. BBVA’s crypto offerings were launched in a phased rollout to select clients first and will enable users to buy, sell, and manage digital assets through its mobile app in the coming months.

BBVA’s expansion into crypto coincides with the full implementation of the European Markets in Crypto-Assets Regulation (MiCA) at the end of 2024. EU crypto companies have until July 2026 to fully comply with its stringent requirements under an 18-month transitional phase. Other banks, such as Santander, are also considering offering select crypto trading and the issuance of their own stablecoins, further indicating a growing trend within the banking sector to embrace digital assets.

BBVA’s recommendation to its clients to allocate up to 7% of their portfolios to cryptocurrencies is a significant development. It reflects the bank’s evolving stance on digital assets, which have traditionally been viewed with caution due to their high-risk nature. By offering crypto trading and custody services, BBVA is demonstrating its commitment to integrating cryptocurrencies into its financial offerings. This move highlights the growing acceptance of digital assets within the traditional banking sector, as more institutions recognize the potential benefits and opportunities presented by cryptocurrencies.