A major North American bank just dropped a bombshell—their clients’ investment portfolios can now allocate up to 4% to cryptocurrencies. The CEO confirmed this publicly recently, but also stressed that a full rollout will have to wait until regulatory guidelines are completely clear.

This move is quite interesting. Traditional banks are officially making room for crypto assets, signaling that institutional attitudes toward digital currencies are shifting. The 4% allocation may seem small, but for conservative financial institutions, it’s a clear sign—they’re acknowledging the investment value of cryptocurrencies while keeping risk within an acceptable range.

What’s even more noteworthy is that this bank has already invested $1.7 billion in blockchain and crypto infrastructure. Now, by allowing clients to allocate funds, they’re connecting their technical groundwork with customer demand. As the CEO put it bluntly: “We’re technically ready to support crypto payments; we’re just waiting for a clear regulatory framework.”

For the market, moves like this can trigger significant ripple effects. Institutional involvement means more compliant capital entering the space, and liquidity for mainstream tokens like $BTC and $ETH will improve. The bank’s endorsement also lowers the psychological barrier for average investors—after all, if traditional financial giants are taking it seriously, it’s no longer just a speculative asset.

Stablecoins are likely a major focus for them as well. When it comes to managing volatility, stablecoins can act as a buffer, which is essential for risk-averse clients.

From a regulatory standpoint, banks doing this are actually pushing for policy implementation. They’re expressing support while emphasizing the need for clear rules, essentially engaging regulators in dialogue. History shows that large institutions getting involved often accelerates industry standardization—liquidity increases, compliance frameworks improve, and broader market acceptance follows.

Ultimately, this 4% allocation policy isn’t just a numbers game; it’s more of a signal: the line between traditional finance and the crypto world is blurring, and the institutions that move early are positioning themselves as bridges between the two.