Norway’s wealth fund increases Bitcoin exposure to $356M

Norway’s sovereign wealth fund, managed by Norges Bank Investment Management (NBIM), has significantly increased its indirect exposure to Bitcoin (CRYPTO:BTC).

As of the end of 2024, the fund holds approximately 3,821 BTC, valued at around $356 million, marking a remarkable 153% increase from the previous year.

This growth is attributed to investments in various cryptocurrency-related companies, including MicroStrategy, Coinbase, and several Bitcoin mining firms.

K33 Research reported that the fund's exposure rose by 1,375 BTC from June to December 2024 alone.

Vetle Lunde, head of research at K33, noted that this increase is likely a result of rule-based sector weighting rather than a strategic focus on Bitcoin.

“NBIM’s indirect exposure is one of the strongest examples of how BTC is slipping into any well-diversified portfolio,” he stated.

The fund's holdings include a significant stake in MicroStrategy worth $500 million, which represents a substantial portion of its Bitcoin exposure.

In addition to MicroStrategy, NBIM has investments in Tesla and leading crypto exchanges and miners such as Coinbase and Riot Platforms.

The Government Pension Fund Global reported an impressive $222 billion in profits for 2024, largely driven by gains in technology sectors.

Nicolai Tangen, CEO of NBIM, described 2024 as “a very strong year” for the fund due to these substantial gains.

The rise of publicly traded cryptocurrency companies and spot Bitcoin exchange-traded funds (ETFs) has facilitated greater institutional access to digital assets.

According to a survey conducted by Swiss crypto bank Sygnum, 57% of institutional investors plan to increase their exposure to cryptocurrencies in the near future.

At the time of reporting, the Bitcoin price was $104,281.