Bank of America (BAC.N), opens new tab will allow its financial advisers to recommend crypto allocations in client portfolios next month, a milestone for the digital assets sector.

The bank stated clients with certain assets might buy bitcoin ETFs since early 2024. The latest change elevates advisors from crypto order executors to advisers.

Numerous investors prefer crypto ETFs and ETPs, which offer higher liquidity, security, and regulatory compliance than managing the asset directly.

“A modest allocation of 1% to 4% in digital assets may be appropriate for investors with a strong interest in thematic innovation and comfort with elevated volatility,” said Merrill and Bank of America Private Bank Chief Investment Officer Chris Hyzy.

“The link between adoption and long-term value is real but not guaranteed, and periods of speculative excess can distort prices far above true utility,” stated Merill in a note.