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Spanish bank BBVA is now advising<\/a> its wealthy clients to invest up to 7% of their portfolios in crypto and Bitcoin, showing how traditional banks are starting to see the potential of Bitcoin.\u00a0<\/p>\n \u201cWith private customers, since September last year, we started advising on Bitcoin,\u201d said Philippe Meyer, head of digital & blockchain solutions at BBVA Switzerland, during the DigiAssets conference in London. \u201cThe riskier profile, we allow up to 7% of portfolios in crypto.\u201d<\/p>\n The bank\u2019s private wealth division is currently recommending clients allocate 3% to 7% of their portfolio to Bitcoin and crypto, depending on their individual appetite. While many private banks have offered to execute Bitcoin or crypto trades upon request, it remains rare for a global financial institution to formally advise clients to buy<\/a>. BBVA is currently recommending allocations specifically in Bitcoin.\u00a0<\/p>\n Meyer emphasized that even a modest allocation to Bitcoin can have a meaningful impact on portfolio returns, \u201cIf you look at a balanced portfolio, if you introduce 3%, you already boost the performance,\u201d he said. \u201cAt 3%, you are not taking a huge risk.\u201d\u00a0<\/p>\n BBVA began executing<\/a> Bitcoin purchases for its clients in 2021, but Meyer said this is the first time it is formally advising allocations. In June 2021, the bank launched Bitcoin trading and custody services through its Swiss subsidiary for private clients. \u201cWith this innovative offer, BBVA positions itself as a benchmark institution in the adoption of blockchain technology,\u201d said BBVA Switzerland CEO Alfonso G\u00f3mez at the time.\u00a0<\/p>\n BBVA\u2019s interest in digital currency goes back even further. As early as 2015, the bank made it clear that it viewed Bitcoin and blockchain technology as more than just a passing trend. In a statement that now seems increasingly prescient, BBVA said<\/a> \u201cinstitutions that understand Bitcoin and digital currencies will lead the new monetary system,\u201d highlighting its belief that early adopters would gain a strategic advantage.\u00a0<\/p>\n This early support set BBVA apart from many of its peers, as few major banks were willing to publicly engage with Bitcoin at the time.\u00a0<\/p>\n What began as interest in blockchain technology has turned into direct investment guidance, now culminating in BBVA formally advising wealthy clients to allocate up to 7% of their portfolios into Bitcoin, a clear sign the bank sees it as a long term part of its future.<\/p>\n<\/div>\n