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There is no one-size-fits-all cryptocurrency allocation, according to Charles Schwab Corporation (NYSE:SCHW).

Schwab Director of Digital Currencies Research and Strategy Jim Ferraioli said in a report last week that investors could determine cryptocurrency allocations either through traditional portfolio theory or a risk-budgeting approach.

However, Ferraioli warned that even the smallest allocation could significantly impact portfolio performance, citing the historical volatility of cryptocurrencies compared to traditional assets.

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