inancial advisors remain reluctant to recommend crypto investments, even as prices increase," per CNBC

Digital assets have surged since the U.S. presidential election in November, with Bitcoin hitting a record high above $107,000 on Monday, bolstered by President-elect Donald Trump's pro-cryptocurrency policy announcements.

Despite the rally, many financial advisors remain cautious.

“As traditional long-term planners, we currently do not incorporate crypto in our portfolio allocations,” said Marianela Collado, a certified financial planner and CEO of Tobias Financial Advisors in Plantation, Florida. She’s also a certified public accountant. “We always advise our clients to invest in crypto only what they’re comfortable losing and not rely on it for retirement needs.”

Regulatory Uncertainty and Advisor Hesitation

Concerns about regulatory clarity remain a significant barrier for financial advisors when it comes to recommending cryptocurrencies.

An April survey of 2,000 financial advisors by Cerulli Associates found that 59% neither use nor plan to use cryptocurrencies in client portfolios. Meanwhile, 26% indicated they may incorporate crypto in the future, 12% said they include crypto based on client requests, and less than 3% use it based on their own recommendations.

ETFs as a Simplified Option for Crypto Exposure

For clients interested in crypto, Ashton Lawrence, a certified financial planner at Mariner Wealth Advisors in Greenville, South Carolina, often suggests exchange-traded funds (ETFs).

“It really depends on the client’s goals and comfort navigating this market,” Lawrence said. “For those seeking a straightforward solution, ETFs might be the best option.”

Spot Bitcoin ETFs, introduced in January, have quickly gained traction, now managing over $100 billion in assets—roughly 1% of the total ETF market.

“Bitcoin ETFs have become the preferred vehicle for Bitcoin holders,” said Brian Hartigan, global head of ETFs at Invesco, during CNBC’s “Halftime Report” on Dec. 9.

Lawrence typically advises clients to limit crypto investments to 1% to 5% of their portfolios.

Most advisors agree that including crypto in a portfolio should depend on an individual’s risk tolerance, financial objectives, and investment horizon.