The Norwegian Government Pension Fund Indirect Exposure to Bitcoin Rose by 62% during the first half of this year

The Norwegian Government Pension Fund, commonly known as the Oil Fund, has indirect exposure to Bitcoin that rose by 62% during the first half of this year

The Norwegian Government Pension Fund, also known as the Oil Fund, has seen a 62% rise in its indirect exposure to Bitcoin (BTC) in the first half of this year, now holding the equivalent of 2,446 BTC, according to Senior Analyst at K33 Research Vetle Lunde.

This marks an increase of 938 BTC since December 2023, when the fund was reported to be indirectly holding the equivalent of 1,507 BTC.

As the world’s largest sovereign wealth fund, the Norwegian Pension Fund had assets amounting to $1.7 trillion, according to its latest reports.

Lunde attributed this growth more to automated sector adjustments and risk diversification than a deliberate strategy to increase Bitcoin holdings.

“This growth in BTC exposure is unlikely to stem from an intentional choice to amass exposure—if increased BTC exposure was the target, we’d see more evidence of direct exposure initiatives (and significantly larger exposure),” he said.

The fund’s indirect Bitcoin exposure stems from its investments in leading Bitcoin-related companies, including MicroStrategy, Marathon Digital, Coinbase, and Block Inc.

In the first half of 2024, the fund’s stake in MicroStrategy rose from 0.67% to 0.89%, as MicroStrategy boosted its holdings in Bitcoin terms by 37,181 BTC. Moreover, the fund increased its shares in Coinbase from 0.49% to 0.83% and Block Inc from 1.09% to 1.28%. It also added a 0.82% position in Marathon Digital.

Lunde pointed out that the fund’s indirect Bitcoin exposure amounted to 44,476 sats (approximately $27) per capita at the end of the year’s first half.

The Norwegian fund’s increasing exposure to Bitcoin aligns with current trends observed in other pension funds, such as the Wisconsin Pension Fund, which have also increased their exposure to the top crypto.

As CryptoSlate previously reported, these investments reflect the growing acceptance of BTC as a viable alternative investment, especially after the introduction of spot Bitcoin exchange-traded fund (ETF) products in the United States this year.

“Bitcoin is maturing as an asset and getting woven into any well-diversified portfolio!” Lunde added.

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