Swedish Municipality Intends To Diversify Investment Portfolio With Cryptocurrency

Staffanstorp municipality in Sweden will research the cryptocurrency by April 20, 2022. The municipality has a strong economy and an investment portfolio of over SEK 500 mln. Municipality investments include fixed income and securities. The municipality is currently considering investing in cryptocurrency as a possible risk diversification method.

According to Christian SONNESSON, chairman of the municipal board, this isn't about bitcoin ownership. Future investments can be directed to funds investing in cryptocurrencies. The municipal board also intends to find out if the financial policy of the municipality allows investments in cryptocurrencies.

Sweden is gradually phasing out banknotes and coins. Riksbank is researching the possibility of launching a digital version of the national currency, the e-Krona. This year, the bank will continue its research, test the technical application for the e-Krona in a pilot mode and compare various technological solutions for the e-Krona.

Image: TotalKrypto