Bitcoin is no longer being framed as a bold gamble inside Brazil’s largest private bank. It is being positioned as a measured portfolio tool.
Renato Eid, partner at Itaú Asset Management and head of beta strategies, has recommended that investors allocate between 1% and 3% of their portfolios to Bitcoin. The message is clear. This is not about chasing upside. It is about capturing the combined benefits of diversification and currency protection.
Eid stresses patience over precision.
Rather than trying to time market entries, he argues investors should maintain a long term horizon. Bitcoin, in this framework, is meant to complement traditional assets, not replace them or dominate portfolio construction.
The recommendation is not theoretical.
Eid specifically points to BITI11, a Brazil listed fund that provides Bitcoin exposure through an ETF style structure. The product has traded on Brazil’s B3 exchange since 2022 and was launched through a partnership between Galaxy Digital and Itaú Asset. Today, the fund manages approximately $115.6 million in assets.
The context is uniquely Brazilian.
Eid’s argument leans heavily on currency volatility. The Brazilian real hit record lows in December 2024, sliding to around 6.30 reais per U.S. dollar at its weakest point. While the currency has since recovered to roughly 5.42 per dollar, the episode highlighted ongoing foreign exchange risk for domestic investors.
Holding assets priced in global markets can soften that blow.
According to Eid, maintaining or adding exposure to BITI11 offers international diversification, partial protection against FX shocks, and exposure to Bitcoin’s emerging role as a global store of value.
This stance also fits into Itaú Unibanco’s broader crypto strategy.
In December 2023, the bank launched Bitcoin and Ethereum trading within its íon platform, with Itaú itself acting as custodian for client assets. What once sat on the fringe is now being folded directly into core banking services.
Itaú is not alone.
Bank of America has recently suggested similar 1% to 4% crypto allocations for wealth management clients. The shift signals a broader change across traditional finance, where digital assets are increasingly treated as legitimate portfolio components rather than speculative side bets.
Regulation is helping move that conversation forward.
Brazil’s central bank has rolled out new rules requiring domestic digital asset firms to register for legal operation, giving the market clearer boundaries and greater institutional confidence.
For investors, the message from Brazil’s biggest bank is simple. Bitcoin does not need to be everything. Even a small allocation can matter.
