In 2025, about 32% of financial advisors allocated investments to cryptocurrencies for client portfolios, a rise from 22% in 2024, as revealed by a recent survey.
An escalating number of financial advisors seem to be channeling more client funds into high-risk digital currencies. However, one of the foremost brokerages and wealth management firms, Merrill Lynch, has issued a caution against such investments.
This dual strategy within the financial advisory sector aims to address the complexities of cryptocurrency investments: meeting client demands for digital asset investments, while prudently managing their exposure to a volatile asset category that aligns with traditional industry care standards.
Retail investor interest in digital assets is expected to continue its upward trend. The Bitwise/VettaFi 2026 Benchmark Survey concerning Financial Advisors’ Perceptions of Crypto Assets found that 32% of advisors were investing in crypto for client accounts in 2025, increasing from 22% the previous year.
This marks the highest level of allocation recorded throughout the eight-year history of this survey, which collected insights from 299 financial advisors across various business models and employment settings.
According to the survey, a growing number of professional advisors now own cryptocurrencies, with 56% reporting personal holdings. This represents the highest ownership level since the survey commenced in 2018.
Institutional access has also improved. The survey indicates that 42% of advisors can now purchase cryptocurrencies for client accounts, showing a marked increase from 35% in 2024 and 19% in 2023.
This progression is not particularly surprising.
Prominent financial advisory firms are actively expanding client access to include cryptocurrency in investment portfolios.
Bank of America recently announced plans to allow a 1% to 4% advisor-recommended allocation to select digital assets, beginning early next year for clients of its Merrill, Bank of America Private Bank, and Merrill Edge platforms.
Previously, eligible clients could invest in firm-sanctioned crypto exchange-traded funds, but now advisors are permitted to recommend these products as well.
At the same time, Merrill Lynch has raised concerns among both advisors and clients contemplating investments in digital assets, as indicated in a recent company disclosure.
According to the updated wrap fee program brochure submitted to the Securities and Exchange Commission, “The risks associated with investing in crypto assets are substantial. These assets are highly speculative and have been available for a relatively short time.”
The SEC filing goes on to state, “A large portion of demand for crypto assets stems from speculators and investors seeking quick profits. Media attention, social media posts, and comments from influencers can drastically affect performance due to the speculative nature of these currencies.”
“Historical trends indicate that crypto asset prices can be extremely volatile,” the filing adds. “Prices can plummet unexpectedly, risking the total loss of investors’ capital within a short timeframe. Some crypto assets may also have concentrated ownership, where a few large holders could unintentionally trigger significant price drops by selling or transferring their assets suddenly.”