Luxembourg has become the first eurozone country to officially invest part of its sovereign wealth fund in Bitcoin. The state-owned Intergenerational Sovereign Wealth Fund (FSIL) has invested 1% of its assets in a Bitcoin ETF, setting a precedent for conservative state investors in the EU. Luxembourg Finance Minister Gilles Roth announced this during the presentation of the 2026 budget, CoinDesk reports.
Luxembourg’s Intergenerational Sovereign Wealth Fund (FSIL), created in 2014 to accumulate reserves for future generations, has assets worth $730 million. The investment in Bitcoin amounted to 1% of this amount, or about $7.3 million.
This step was made possible thanks to the fund’s new investment policy, approved by the government in July 2025. It allows the fund to direct up to 15% of its assets into alternative investments, which include, in addition to private equity and real estate, cryptoassets.
It is noted that the investment was made through exchange-traded funds (ETFs), rather than by directly purchasing Bitcoin, to avoid the operational risks associated with holding cryptocurrency.