Norway’s sovereign wealth fund, Norges Bank, faced a significant loss of $40 billion in the first quarter of 2025, primarily due to the decline in US-listed technology companies. The bank indirectly owned 3,821 BTC through its stock market investments by the end of 2024, posing a potential sell pressure risk on Bitcoin amidst global trade war and recession concerns. Abu Dhabi’s $437 million stake in a spot Bitcoin ETF highlights sovereign wealth funds’ view of Bitcoin as a hedge. The possibility of Norges Bank increasing its exposure to Bitcoin-related companies or spot Bitcoin ETFs to hedge risk arises, although currently unlikely due to the absence of gold in its portfolio. With equities comprising 71.4% of the fund’s total investments, the ongoing global trade war could lead to substantial losses. Despite generating $222 billion in profits in 2024 and a marginal 1.6% drop in the stock market portfolio in Q1 2025, Norway’s sovereign wealth fund mainly follows the FTSE Global All Cap Index. While the fund’s exposure to US-listed tech stocks has been below the benchmark, some holdings like Strategy, Mara Holdings, Coinbase, and Riot Platforms maintain significant Bitcoin positions, resulting in an indirect $356 million Bitcoin exposure. Although purchasing Bitcoin ETFs seems improbable without altering the fund’s mandate, increasing exposure to companies with significant Bitcoin holdings remains feasible, as indicated by Mubadala Investments’ stake in BlackRock’s iShares Bitcoin ETF and the State of Wisconsin Investment Board’s investment in spot Bitcoin ETFs. This trend underscores the growing adoption of cryptocurrency as a hedge against market fluctuations.<\/p>\n","protected":false},"excerpt":{"rendered":"
Norway’s sovereign wealth fund, Norges Bank, faced a significant loss of $40 billion in the first quarter of 2025, primarily due to the decline in US-listed technology companies. The bank indirectly owned 3,821 BTC through its stock market investments by the end of 2024, posing a potential sell pressure risk on Bitcoin amidst global trade […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[25],"tags":[],"aioseo_notices":[],"featured_image_urls":{"full":"","thumbnail":"","medium":"","medium_large":"","large":"","1536x1536":"","2048x2048":""},"author_info":{"display_name":"","author_link":"https:\/\/vanillanews.com\/index.php\/author\/"},"category_info":"JUST IN<\/a>","tag_info":"JUST IN","comment_count":"0","_links":{"self":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts\/117832"}],"collection":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/comments?post=117832"}],"version-history":[{"count":0,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/posts\/117832\/revisions"}],"wp:attachment":[{"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/media?parent=117832"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/categories?post=117832"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vanillanews.com\/index.php\/wp-json\/wp\/v2\/tags?post=117832"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}