Norway's Sovereign Wealth Fund Indirectly Holds $143 Million in Bitcoin Through Tech Investments

The average Norwegian holds about $27 worth of Bitcoin indirectly, thanks to the country’s sovereign wealth fund. As of the first half of 2024, this fund has exposure to 2,446 BTC through investments in tech companies that deal with cryptocurrency.

According to K33Research, these holdings are valued at just over $143 million. Interestingly, they’ve increased by 938 BTC since December 31, 2023.

The Norges Bank Investment Management fund, worth $1.7 trillion, invests the nation's oil revenues for its 5.5 million residents. Vetle Lunde, a senior analyst at K33Research, notes that this exposure to Bitcoin likely isn’t a deliberate choice. If Norway aimed to increase its Bitcoin investments, we would see more direct strategies and higher levels of exposure.

Instead, Norway’s growing indirect exposure comes from rising investments in companies like MicroStrategy, Block, and Marathon Digital. These firms hold significant amounts of Bitcoin in their corporate treasuries. MicroStrategy is currently one of the largest single holders of Bitcoin worldwide, led by Michael Saylor. Norway’s stake in MicroStrategy increased from 0.67% to 0.89% in the first half of 2024. During the same period, MicroStrategy added 37,181 BTC to its holdings.

The wealth fund also invested in Marathon Digital, raising its exposure from 0% to 0.82% in the first half of 2024. It increased its stake in Coinbase from 0.49% to 0.83% and in Block, Inc from 1.09% to 1.28%. Lunde believes these figures show how Bitcoin is maturing as an asset. The fund focuses on diversification to manage risk, which aligns with its stated goals.

Now, let’s talk about government Bitcoin holdings. The U.S. government holds over $12.5 billion in Bitcoin, according to BitcoinTreasuries. That’s about 1% of the world’s supply. This Bitcoin comes mainly from seizures during law enforcement actions, not from investment decisions. The government has sold some of its seized Bitcoin periodically. Republican presidential candidate Donald Trump has suggested using these holdings to create a strategic Bitcoin reserve.

Meanwhile, the UK government holds $3.5 billion in Bitcoin, also choosing not to sell confiscated coins. On the other hand, El Salvador has a policy of intentionally building its Bitcoin reserves. The Central American country now holds 5,800 BTC, worth roughly $339 million. That breaks down to almost $54 per citizen, as Bitcoin is legal tender there.