South Korea’s National Pension Service Increases Bitcoin Exposure with $34M Investment in MicroStrategy

• The National Pension Service (NPS) of South Korea made a significant investment in digital assets by acquiring nearly $34 million in MicroStrategy (MSTR) shares during the second quarter of 2024.
• Ranking as the world’s third-largest pension fund by assets, NPS has shown a pronounced interest in the cryptocurrency sector.
• NPS purchased 24,500 shares at an average price of $1,377.48 each, according to a recent filing with the US Securities and Exchange Commission (SEC).

Discover how South Korea’s National Pension Service is expanding its portfolio into the digital assets space with significant investments in MicroStrategy and other crypto-related entities.

South Korea’s NPS Acquires Substantial MicroStrategy Shares

In a strategic move into the digital assets sector, the National Pension Service (NPS) of South Korea invested approximately $34 million in shares of MicroStrategy during the second quarter of 2024. This acquisition marks a notable entry for the world’s third-largest pension fund into the realm of cryptocurrencies. NPS purchased 24,500 shares at an average price of $1,377.48 each, as revealed in a recent SEC filing dated August 13. This investment is widely seen as a proxy for gaining exposure to Bitcoin, leveraging MicroStrategy’s significant holdings and commitment to the cryptocurrency.

MicroStrategy’s Evolution in the Bitcoin Space

Originally known for its enterprise analytics software, MicroStrategy has become a prominent name in the Bitcoin investment community. Under the leadership of CEO Michael Saylor, a staunch advocate for Bitcoin, the company transitioned to become the largest corporate holder of Bitcoin. This strategic pivot has been reflected in MicroStrategy’s stock performance, which saw a 92.5% surge in 2024, surpassing $150—a milestone it had not reached in over two decades.

NPS’s Broader Investment Strategy

The National Pension Service’s stakes extend beyond MicroStrategy, showcasing a diversified approach to digital assets. According to the latest SEC filings, NPS holds over 229,807 shares of Coinbase, valued at more than $51 million. This reflects the fund’s commitment to encompassing a broad spectrum of key players in the crypto and tech industries. Additionally, NPS has invested substantial amounts in companies such as Roblox, with $31.5 million in shares, and Block, Inc., procuring $61.5 million worth of shares.

Conclusion

The National Pension Service of South Korea is strategically positioning itself in the burgeoning digital assets market, with significant investments in established entities like MicroStrategy and Coinbase. This move underscores a growing institutional acknowledgment and acceptance of cryptocurrencies as viable assets within a diversified investment portfolio. With its expanding interests, NPS sets a precedent for other large-scale institutional investors contemplating similar ventures into the cryptocurrency space.