Charles Schwab announced plans to roll out spot cryptocurrency trading later this year, enabling clients to buy and sell Bitcoin directly within their brokerage accounts. The firm has also recommended clients consider allocating up to 8.8% of their portfolios to Bitcoin, signaling a significant expansion of its digital asset offerings.

Bitcoin has staged a 14% rebound from its April low, reaching near $75,000, while US-listed spot Bitcoin ETFs attracted $332 million in net inflows this week. These trends underscore growing institutional and retail interest in the asset class, setting the stage for higher trading volumes.

By adding spot crypto trading, Schwab aims to tap into surging client demand and generate new fee income, but faces the challenges of heightened market volatility and potential short-squeeze events. The move could boost assets under management and trading revenue, though it exposes the firm to crypto market risks and regulatory scrutiny.