- South Korea’s NPS, with $733B in assets, invests in MicroStrategy to gain indirect Bitcoin exposure.
- NPS also holds $51M in Coinbase shares, reflecting crypto market confidence.
- NPS’s moves highlight a growing trend of institutional investment in digital assets.
The National Pension Service of South Korea now ranked third in the world with $733 billion in assets, has not left the cryptocurrency market and bought shares in MicroStrategy.This action of the NPS is in harmony with the organization’s broader strategy to accomplish its goals of indirectly investing in the new bitcoin markets.
Increasing Crypto Exposure
This action of the NPS is in line with the organization’s larger plan to achieve its objectives of indirect investment in the emerging cryptocurrency markets. Before that, the NPS invested in Coinbase by purchasing 282,673 shares each at $19. 9 million at the time of purchase.
The pension fund also has share investments in Coinbase. As of June 2024, it owned 229,807 Coinbase shares worth about $51 million, down somewhat from the 253,763 shares it owned at the end of March 2024.
Market Effect and Future Projections
The stakes held in these companies promote a designed change by the NPS to embrace crypto assets in the conventional finance basket.
MicroStrategy, known for holding 226,500 Bitcoin, equating to roughly $13.2 billion, offers investors like NPS a robust avenue to indirectly participate in the Bitcoin market without direct exposure to the cryptocurrency itself.
This strategic investment is at the right time, as the US SEC has approved the first leveraged ETD for MicroStrategy, making it even more attractive to institutions.
Continued Growth and Diversification
Stable movement in cryptocurrency-related stocks pushes NPS further to cement its position in the DAVA. The continuous integration of cryptocurrency into the conventional portfolios of big institutional investors is evidence of a major shift in market management across the globe.
The investments made by the NPS in both MicroStrategy and Coinbase show not only their belief in the twin possibilities of these companies’ balance sheets but also an acceptance of their proposition that cryptocurrency is a legitimate and permanent part of modern institutional investment.
Through these strategies, the NPS bolsters its portfolio and sets a benchmark for other pension funds and large asset managers to invest in digital assets.
While there is still much uncertainty about the future of investments, it appears increasingly confident that digital currencies will become components of institutional investors’ portfolios.
disclaimer read moreCrypto News Land, also abbreviated as "CNL", is an independent media entity - we are not affiliated with any company in the blockchain and cryptocurrency industry. We aim to provide fresh and relevant content that will help build up the crypto space since we believe in its potential to impact the world for the better. All of our news sources are credible and accurate as we know it, although we do not make any warranty as to the validity of their statements as well as their motive behind it. While we make sure to double-check the veracity of information from our sources, we do not make any assurances as to the timeliness and completeness of any information in our website as provided by our sources. Moreover, we disclaim any information on our website as investment or financial advice. We encourage all visitors to do your own research and consult with an expert in the relevant subject before making any investment or trading decision.
