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Luxembourg’s Sovereign Fund Puts 1% Into Bitcoin ETFs, a Eurozone First

A July policy revision permitting alternative assets enabled the cautious step.

Overview

  • Finance Minister Gilles Roth disclosed the move during the 2026 budget presentation to the Chamber of Deputies.
  • Treasury Director Bob Kieffer said the fund chose selected ETFs to avoid custody and operational risks rather than holding Bitcoin directly.
  • The FSIL’s updated mandate allows up to 15% of assets in alternatives such as crypto, private equity and real estate, with Bitcoin exposure set at 1% for now.
  • Outlets cite FSIL assets between about $730 million and roughly €850 million, placing the Bitcoin allocation in the vicinity of $7 million to $9.5 million.
  • Officials described the allocation as symbolic and aligned with Luxembourg’s digital‑finance ambitions, with coverage noting related regulatory shifts in Europe and the U.K.