Luxembourg’s FSIL Becomes First Eurozone National Fund to Allocate 1% to Bitcoin ETF

Luxembourg’s Inter-Generational Sovereign Wealth Fund (FSIL) has allocated 1% of its portfolio to a Bitcoin ETF, representing the first national fund in the Eurozone to incorporate exchange-traded Bitcoin exposure. The measured allocation reflects a cautious, rules-based addition to the fund’s strategic asset allocation.

Under a revised governance framework, FSIL may allocate up to 15% of assets to alternative investments, explicitly including cryptocurrency instruments such as a Bitcoin ETF. The amendment embeds explicit limits and oversight designed to preserve capital while allowing controlled exposure to emerging asset classes.

Founded in 2014 to accumulate inter-generational wealth, FSIL manages roughly $730 million, with the majority invested in high-quality bonds. The modest crypto position appears to be a tactical diversification within a conservative sovereign balance sheet focused on liquidity and long-term, risk-adjusted returns.