In an official declaration, the Israel Investment Fund Group (IIFG) has announced that it has invested a massive $2.3 billion in Bitcoin. This Fund Group manages the sovereign wealth fund of Israel.
The announcement notes that the latest Bitcoin investment comes as part of their portfolio diversification strategy. It also notes that the global strategic plan will help Israel lead to the future.
כחלק ממדיניות הפיזור של פורטפוליו השקענו 2.3 מיליארד בביטקוין.
זה חלק מאסטרטגיה עולמית להוביל את ישראל לעתיד המטבע
— Israel Investment Fund Group (@gegelsmr) July 9, 2021
After criticizing Bitcoin for over years, it looks like government institutions are also getting swayed to the asset class. Bitcoin’s staggering 200% compounded returns over the last year make it one of the most lucrative assets classes.
This is not the first that a country’s sovereign fund is seeking exposure to Bitcoin. Earlier in March 2021, a report suggested that Singapore’s sovereign wealth fund Temasek has been investing in Bitcoin since 2018.
The latest announcement from IIFG comes just at a time when its Defence Ministry announced that it has started to seize Bitcoins used by the militant group Hamas. The law enforcement officials have seized 150 such accounts that Hamas allegedly used for money laundering.
Several Countries Leaning Towards Bitcoin
Amid China’s war on Bitcoin and crypto, several other countries are showing affinity towards the world’s largest crypto. Latin American country El Salvador passed the Bitcoin law making BTC a legal tender in the country. Other Latin American countries, which are facing major inflation and economic slowdown challenges have shown interest in adopting Bitcoin.
On the other hand, U.S. lawmakers have started seeking exposure to BTC. As per the recent disclosures, a number of U.S. Senate members invested in Bitcoin over the last few months. We can expect that the United States will bring more clear regulations on crypto ahead this year. Investors are eagerly waiting for the approval of the first Bitcoin ETF.
Earlier on Thursday, July 8, the BTC price tanked all the way to $32,000, however, it has seen partial bounceback since then. At press time, Bitcoin (BTC) is trading at $33,733 with a market cap of $633 billion. Here are the key levels to watch out for.