Financial advisors are moving beyond token crypto exposure and treating it as a structured portfolio allocation. Survey data from Bitwise and VettaFi show that nearly half of advisors with crypto exposure now allocate between 2% and 5%, while 17% allocate more than 5%, signaling a shift away from the long-standing 1% “toe-dip” approach.

This change is being reinforced by major institutions such as Fidelity, Morgan Stanley, and Bank of America, which now publish explicit allocation guidance that frames crypto as a risk-managed asset class rather than pure speculation. Modeling from these firms suggests modest allocations can improve portfolio outcomes while keeping downside risk contained.

Improved infrastructure, wider access through ETFs and custodians, and rising personal conviction among advisors are accelerating adoption. Together, these factors indicate crypto is entering a new phase—transitioning from experimental exposure to a defined, risk-tiered sleeve within institutional and advisory portfolios.