Norway’s Sovereign Wealth Fund Increases Bitcoin Exposure
Norway’s sovereign wealth fund—Norges Bank Investment Management (NBIM)—has significantly increased its indirect Bitcoin exposure by 153% in 2024, reaching a total of 3,821 BTC. This move indicates a growing trend towards incorporating Bitcoin into diversified portfolios, according to Vetle Lunde, a senior analyst at K33 Research.
Market Maturation and Institutional Interest
Lunde explained that the increased exposure to Bitcoin by NBIM is likely a result of sector-based investment strategies rather than a direct focus on Bitcoin. This trend highlights the maturation of the market and the growing institutional interest in Bitcoin as an asset class regardless of initial intent.
- Indirect Bitcoin Exposure: 3,821 BTC
- Per Capita Exposure: 68,837 sats ($64)
- USD Exposure Growth: From $23 million in 2020 to $356 million in 2024
Portfolio Expansion and Strategic Investments
Lunde noted that NBIM has expanded its holdings in Riot Platforms and Metaplanet, indicating a strategic approach to diversification within the cryptocurrency space. Despite expectations of a reduced stake in MicroStrategy following its 21/21 plan, NBIM maintained a significant exposure to the company.
Implications for the World’s Largest Sovereign Wealth Fund
As of the end of 2024, the Norwegian Pension Fund remains the world’s largest sovereign wealth fund, with assets totaling $1.7 trillion. The fund’s continued increase in Bitcoin exposure reflects a broader trend towards institutional adoption of cryptocurrencies as part of a balanced investment strategy.
