Spain's BBVA has begun recommending its high-net-worth clients to allocate small portions to cryptocurrencies, reflecting growing interest in digital assets.
BBVA's Crypto Recommendations
BBVA, Spain's second-largest bank, is encouraging its high-net-worth clients to consider allocating 3-7% of their portfolios to cryptocurrencies, including Bitcoin. Philippe Meyer, head of digital solutions at the bank, indicated that clients have been advised to invest in BTC since September 2023. Meyer emphasized that even a 3% allocation could enhance portfolio performance without significant risk.
Regulatory Approval for Trading Services
BBVA has been offering crypto trading services since 2021 and in March of this year received authorization from Spain's securities regulator to provide trading services for both Bitcoin and Ether. These features will soon be integrated into the bank's mobile application, allowing users to manage digital assets conveniently.
Other Banks Follow BBVA's Lead
BBVA's growing engagement in crypto aligns with the implementation of the European Markets in Crypto-Assets Regulation (MiCA), which provides a unified framework for digital assets in the EU. Meanwhile, some banks like Santander are also exploring launching their own stablecoins and expanding crypto services for retail clients.
BBVA's recommendations highlight the increasing interest in cryptocurrencies among traditional financial institutions, although most banks remain cautious about the area.
