Luxembourg has become the first Eurozone country to officially invest in Bitcoin through its sovereign intergenerational fund (FSIL), in a move that reflects the growing official acceptance of digital assets within public financial policy.
اضافة اعلان
According to a report by writer Kenrodgers Fabian, published on Finbold and reviewed by Divya Mistry on October 9, 2025, Finance Minister Gilles Roth announced the allocation of 1% of the fund’s assets to Bitcoin exchange-traded funds (ETFs) during the presentation of the 2026 budget before the national parliament.
Jonathan Weisthaid from the Luxembourg Finance Agency explained that the decision follows a new investment plan approved in July 2025, noting that the move reflects “the maturity of digital assets as a class and reaffirms Luxembourg’s leadership in digital finance.”
Expanding the Fund’s Strategy
The FSIL fund, established in 2014 to secure savings for future generations, currently manages around $730 million, with most of it invested in safe, high-quality bonds. Under the new strategy, however, up to 15% of assets can be directed toward alternative investments such as private equity, real estate, and digital assets — including Bitcoin.
Weisthaid clarified that investing in Bitcoin ETFs simplifies the process and reduces risks, stressing that the 1% allocation strikes a balance between innovation and caution.
He added: “Some may argue that we invested too little and too late, while others may criticize Bitcoin’s volatility, but management believes this step sends a clear message about the long-term potential of these assets.”
Growing Momentum for Crypto in Luxembourg
This move comes as major digital asset companies strengthen their presence in the country. The Luxembourg Times reported that Coinbase plans to expand its local workforce to 40 employees by 2026, making Luxembourg its European hub under the new MiCA regulatory framework.
At the same time, global interest in Bitcoin ETFs continues to grow, with BlackRock’s IBIT surpassing 800,000 BTC (around $97 billion) — about 3.8% of total global supply, according to CoinMarketCap data.
At the time of publication, Bitcoin was trading at $121,818, down 0.6% over the past 24 hours.
Luxembourg’s investment is seen as a sign that Bitcoin is no longer limited to individual investors, but is increasingly being considered by governments themselves as part of the future of the global financial system.
— Agencies
