Norway's largest sovereign fund, Norges Bank Investment Management (NBIM), has increased its Bitcoin investments, showcasing its active strategy in the crypto industry.
Bitcoin Investments: New Horizons
NBIM, Norway's largest sovereign fund, has initiated a significant indirect investment in Bitcoin, amounting to $356.7 million. Research by K33 indicates that the fund's Bitcoin reserves are expected to increase to 3,821 by the close of 2024, representing a remarkable 153% rise compared to the previous year. Back in 2020, NBIM held just 796 BTC, showcasing its evolving strategy in the cryptocurrency sector.
NBIM's Other Crypto Investments
Beyond its indirect Bitcoin holdings, NBIM has stakes in several public companies linked to the cryptocurrency market. By the end of 2024, it anticipates owning approximately 0.72% of MicroStrategy and 1.1% of Tesla, as well as interests in firms like Coinbase, Metaplanet, and MARA Holdings. These ventures are integral to NBIM's strategy of assessing the potential of digital currencies.
NBIM's Financial Achievements
Recognized as the Norwegian Government Global Fund, NBIM utilizes revenues from the nation's oil and gas sectors for investment. By the end of 2024, the fund is projected to report an unprecedented annual profit of $222.4 billion, largely driven by advancements in AI technology. Vetle Lunde from K33 noted that the upward trajectory of assets similar to cryptocurrencies directly impacts their weight within the portfolio.
NBIM's active engagement with digital currencies signals a noteworthy shift in asset management strategies, drawing attention from participants in global financial markets.
