At a time when state pensions are quietly betting more on digital assets, the State Board of Administration of the Florida Retirement System has significantly increased its holdings in MicroStrategy (MSTR), increasing its indirect exposure to Bitcoin.

Florida owns 221,860 MicroStrategy shares, valued at $88 million at market price, according to its latest SEC filing. The fund added 61,390 shares, representing a 38% increase from the previous quarter.

The move comes as MicroStrategy, now Strategy, remains the world's largest corporate holder of Bitcoin with over 629,000 BTC worth tens of billions of dollars.

Related: What is Crypto? Cryptocurrency explained

For Florida's pension managers, this investment gives them a way to get exposure to Bitcoin through regulated equity without having to buy the cryptocurrency directly. At least 14 states now own Strategy stock, which is worth more than $632 million, according to data from public disclosures.

California is the leading state, with the Public Employees Retirement System (CalPERS) owning 357,183 shares and the State Teachers' Retirement System (CalSTRS) owning 336,936 shares, as of May 16.

CalPERS, which disclosed a bond position in MicroStrategy worth just $10.5 million in its FY 2023–24 annual report, has evolved into one of the largest state pension funds backing the company.

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The move effectively increases CalPERS' indirect exposure to Bitcoin — even as Strategy itself holds over $50 million in bitcoin treasury.

???????? NEW: 14 US states have reported $632m in $MSTR exposure for Q1, in public retirement and treasury funds.

A collective increase of $302m in one quarter. The average increase in holding size was 44%. pic.twitter.com/0PKm1avcPR

— Julian Fahrer (@Julian__Fahrer) May 15, 2025

The Wisconsin State Investment Board holds 127,528 shares, and North Carolina's Treasurer's Office recently increased its position by 107,925 shares, representing a 41% increase as of May 16.

The latest development comes amid the following states expanding their crypto exposure:

Texas

Ohio

Maryland

Colorado

Arizona

Legal and regulatory constraints largely prevent the nation's public retirement system from holding crypto directly.

Some state legislatures have proposed or are considering legislation banning cryptocurrencies as a permissible investment in corporate pension funds due to concerns about fiduciary duty and risk. However, now that Donald Trump has allowed crypto investment in 401(k) plans.

For now, standards for Bitcoin custody and accounting are still in flux, whereas shares in MicroStrategy's equity provide a good fit for their respective mandates.

This story was originally reported by TheStreet on Aug 29, 2025, where it first appeared in the Investing section. Add TheStreet as a Preferred Source by clicking here.