Four years ago, financial advisor Ric Edelman came out on his hands and feet saying everyone should hold cryptocurrency. But how much is it? His recommendation was in the low single digits.
In his 2021 book “The Truth About Crypto,” Edelman said the 1% quota was reasonable.
Much has changed.
This week, Edelman said that financial advisors should recommend an allocation of 10% to 40% to cryptocurrency, recognizing that this is a significant change in his own thinking.
“Today, I’m saying 40%, that’s amazing,” he told CNBC’s Crypto World in an interview. “No one ever said that.”
But “why” is more important.
One is because of the massive changes seen in the industry, he said, and what he called “the evolution of cryptography over the past four years.”
Four years ago, Edelman didn’t know if the government would ban Bitcoin, whether technology would become outdated, or whether consumers and institutions would adopt it.
“All of these questions have been answered today,” said Edelman, who heads the Council on Digital Assets Financial Advisors. “It has changed radically and is now a mainstream asset,” he added.
Certainly, the more mainstream cryptos come, the more they are included in the entire investment portfolio. Bitcoin ETFs are one of the signs that they have arrived at the radar of more financial advisors and long-term investors this year, among the top asset classes of ETF inflows this year.
Other big shifts Edelman look long-term, and just as important to his views on crypto allocation, he says it’s the end of the traditional 60/40 model of long-term investment, with 60% in stocks and 40% in bonds. Advances in technology related to medicine will progress.
“If you had a 30-year-old client who was a financial advisor and saved up for a long-term future, if you had 50 years, you would tell them to stock 100% of their money,” Edelman said. “Today’s 60 is like yesterday’s 30,” he added.
“We need to get better returns than we can get from bonds and hold our stocks longer than ever,” Edelman said. And since that allocation model is away from the classic 40% bond allocation, he said Crypto needs to play a much bigger role in investing.
“Bitcoin prices do not move in sync with stocks, bonds, gold, oil and goods,” Edelman said.
He added that investors are beginning to recognize it as “a great way to improve modern portfolio theory statistics.”
“The Crypto Asset Class offers a higher return opportunity than you’re likely to be in all other asset classes,” Edelman said.
Some analysts predict Bitcoin It will reach $150,000 to $250,000 by the end of this year, and $500,000 by the end of the decade. “That’s a conservative estimate compared to what others are saying,” Edelman said.
Other Crypto News Notes on Friday:
Crypto Hacks recorded a new record early in the year. According to TRM Labs, Bad Actors has set up a new record, over $2.1 billion with at least 75 different hacks and exploits. Attacks on crypto infrastructure, including compromises on private keys, seed phrases and front-end software, accounted for more than 80% of funds stolen in the first half of 2025.
Trump Housing Advisors talk to CNBC about their crypto mortgage plans. Bill Parte, director of the Federal Housing and Finance Agency, joined CNBC’s “Money Mover” on Friday to discuss plans he announced this week to understand how he would count Fannie May and Freddie Mac as federal mortgage assets.
The Senate aims to target the crypto bill at the end of September. Senator Tim Scott, chairman of the Senate Banking Committee, said at an event Thursday that the law establishes rules for the crypto market will end by the end of September.
You can catch more about these headlines in today’s Crypto World episode above.
