Momentum continues to build around cryptocurrency within wealth management circles, catalyzed by the SEC’s approval of spot Bitcoin ETFs, the perceived crypto-friendly stance of the Trump administration, and the nomination of a prominent digital asset advocate to lead the SEC.
For financial advisors, these developments mark a turning point—shifting crypto from speculative curiosity to a serious asset class that demands consideration in client portfolios.
Five years ago, crypto was largely dismissed as too volatile and unproven for fiduciary inclusion. Chad Warmbein, a financial advisor with Park Avenue Investment Advisory in Pittsburgh, recalls when digital assets were effectively off-limits. “It was too risky of an asset to work in the portfolio,” he says. Today, that calculus has changed.
“We are using crypto ETFs in our client accounts,” he adds, reflecting the broader evolution underway among RIAs evaluating digital exposure through the lens of client objectives, risk tolerance, and regulatory clarity. Although widespread adoption remains limited, crypto is becoming an increasingly frequent topic in advisor-client conversations.
Brian Pollak, head of the investment policy committee at Evercore Wealth Management, observes that while many clients remain hesitant, interest is growing—especially among younger investors who are more familiar with digital finance. Evercore currently offers access to two crypto ETFs on its platform and sees a generational divide in interest levels. “Younger clients are more interested in it, more knowledgeable about it, or would like to talk about it more often,” Pollak says.
The SEC’s January 2024 authorization of 11 spot Bitcoin ETFs served as a pivotal moment. For many RIAs, that decision marked a meaningful shift in how crypto could be integrated into portfolios in a compliant, transparent, and cost-efficient manner. “It gave regulatory certainty,” says Matt Hougan, CIO of Bitwise Asset Management. “Once they greenlighted the ETFs, it brought it into the mainstream.”
The approval not only legitimized the asset class in the eyes of many fiduciaries but also addressed lingering concerns over custody and execution, two key operational hurdles that had historically held back adoption. Among the ETFs approved was the iShares Bitcoin Trust ETF (IBIT), which quickly scaled to approximately $48 billion in assets under management—demonstrating the demand for institutional-grade crypto exposure.
The Bitwise Bitcoin ETF (BITB), the flagship fund from Hougan’s firm, now manages $3.2 billion, while the broader Bitwise platform has grown assets from $1 billion to $8.5 billion over the past 18 months. “Ninety-plus percent of our clients are using ETFs,” Hougan notes, underscoring the appetite among advisors for vehicles that blend accessibility, transparency, and liquidity.
For advisors exploring thematic or equity-based crypto strategies, Bitwise also offers the Bitwise Crypto Industry Innovators ETF (BITQ), a $140 million fund that provides exposure to public companies engaged in the digital asset ecosystem—such as Coinbase and Galaxy Digital. These funds serve not only as a way to access crypto beta but also to align portfolios with clients’ broader views on innovation, decentralization, and digital infrastructure.
Advisor perspectives vary on how to position crypto within a diversified asset allocation. Some treat it as a growth asset, while others view it as a hedge against inflation or fiat currency risk. Marc Shachtman, founder and CEO of True Wealth Advisory Group in Miami, says crypto now fits into his firm’s broader framework for inflation-hedging assets.
His portfolios include a dedicated 5% allocation to crypto, alongside a 3.5% position in gold. He leverages a separately managed account built in collaboration with Bitwise, which holds physical Bitcoin as its core allocation—approximately 75%—with some exposure to other digital assets. “At its core it’s a play on Bitcoin,” Shachtman says, emphasizing the firm’s preference for direct ownership rather than derivative exposure.
Bitwise’s latest advisor survey offers some data points on adoption trends. In 2025, 22% of advisors reported allocating client capital to crypto—double the number from the prior year. While this suggests growing acceptance, the majority of advisors remain on the sidelines. “It’s still the case that most advisors have a 0% allocation,” Hougan notes. “So it’s still relatively early.” However, he’s seeing a consistent uptick both in the number of advisors allocating and in the size of those allocations, which now average between 2.5% and 3% of client portfolios.
The political environment may also be playing a role in accelerating advisor interest. The perception that the Trump administration is supportive of digital asset innovation, combined with the nomination of Paul Atkins—a vocal advocate for crypto regulation reform—to lead the SEC, has helped fuel optimism. At his April confirmation hearing, Atkins said his “top priority” would be establishing a new regulatory framework tailored to the unique characteristics of digital assets.
Still, significant hurdles remain. Chief among them are crypto’s inherent volatility and the lack of a widely accepted valuation framework. For many fiduciaries, this lack of clarity complicates the task of aligning crypto with traditional portfolio construction disciplines.
Jonathan Treussard, founder of Jonathan Treussard Capital Management, highlights this issue bluntly: “Give me a valuation model of crypto, and we’ll talk. There is no valuation model.” Without conventional metrics like discounted cash flows or earnings multiples, advisors are forced to rely on narratives, adoption curves, and macro thematics—none of which fit neatly into existing compliance standards.
Evercore’s Pollak echoes this caution, though his firm is still offering clients exposure to blockchain-focused venture capital funds. These vehicles—structured as traditional VC or funds of funds—invest in companies building infrastructure for the crypto ecosystem rather than the currencies themselves.
These investments come with long lockups and illiquidity but offer an indirect path to participate in crypto’s potential without the pronounced volatility of Bitcoin or Ethereum. “They offer exposure to crypto without some of the volatility you get with Bitcoin and some of the currencies or digital assets,” Pollak says.
Even among advisors who support crypto inclusion, there are varying opinions on its strategic role. For Astoria Advisors CEO John Davi, crypto fits into the portfolio as a diversifier—particularly useful for investors concerned about U.S. deficits or dollar debasement. “It makes sense to use it as a diversifier,” he says.
Pollak, by contrast, categorizes it as a risk asset appropriate for a growth sleeve. Warmbein sees room for both interpretations, saying crypto can function as either a long-term growth driver or a diversifying complement depending on the client’s objectives and time horizon.
Despite the increasing availability of SEC-approved products, crypto’s future within the RIA landscape remains uncertain. The industry is still early in the process of determining where digital assets belong in portfolios and how best to incorporate them within fiduciary frameworks. “You have to remember that most people just don’t even own crypto,” Shachtman says. “Most advisors aren’t recommending it. We’re still really early.”
Nonetheless, the trajectory is unmistakable. With the regulatory environment gradually improving, client interest rising, and institutional-quality vehicles now in place, crypto is evolving from a fringe asset to one that wealth managers can no longer ignore. Whether positioned as a hedge, a growth opportunity, or a structural theme, digital assets are likely to play a growing—if still carefully measured—role in wealth advisory over the coming years.
