Brazil’s leading bank says savers should keep up to 3% of their money in Bitcoin

Core Insights - Itaú Asset Management recommends that savers allocate between 1% and 3% of their wealth to Bitcoin, highlighting its distinct characteristics compared to traditional assets [1][2] - The bank emphasizes the importance of moderation and discipline in Bitcoin investments, advising investors to define their strategic allocation and maintain a long-term perspective [3][4] Company Overview - Itaú Unibanco has a market capitalization of $78.20 billion and manages assets worth $500 billion, positioning it as one of the largest financial institutions in Latin America [2] - The bank has been progressively increasing its involvement in the cryptocurrency space, having started offering Bitcoin and Ethereum trading options two years ago and launching its first Bitcoin ETF three years ago [1][2] Investment Strategy - Renato Eid, head of beta strategies at Itaú Asset Management, describes Bitcoin as having unique dynamics and return potential, serving as a currency hedge due to its global and decentralized nature [2][5] - Investors are encouraged to ignore short-term volatility and focus on the long-term potential of Bitcoin as an asset class with a distinctive behavior pattern [4][5] Competitive Landscape - Itaú competes with Nubank, which has adopted a more aggressive stance on cryptocurrency, including plans to convert 1% of its net assets to Bitcoin [6]