U.S. Treasury Bonds: Why Are Nordic Capitalists Massively Selling Off Their Holdings?

A wave of massive sales of U.S. Treasury bonds by Nordic pension funds has shaken global financial markets. Denmark, Sweden, and the Netherlands—traditionally considered safe havens for conservative capital—have decided almost simultaneously to liquidate most of their holdings in U.S. debt. This coordinated exit is not an isolated move but a warning sign about the fiscal sustainability of the United States and the future of the dollar as the global reserve currency.

Nordic pension funds lead the sell-off of U.S. Treasury bonds

Swedish capital spearheaded this withdrawal, selling over 80 billion Swedish kronor (approximately $7.7 to $8.8 billion) in U.S. Treasury bonds, liquidating 90% of their accumulated positions. Danish pension funds followed suit, completely divesting from their U.S. debt holdings. Even the Netherlands, historically a stable investor in U.S. assets, drastically reduced its positions worth tens of billions of dollars in Treasury bonds, redirecting those resources toward German government bonds as an alternative hedge.

Why is this decision so significant? Pension funds are the “canary in the coal mine” of the global financial system. Unlike short-term traders or speculators, these funds manage the future retirement of millions of people. Their risk aversion is extremely sophisticated, based on thorough long-term solvency analysis. When these conservative capital guardians start selling, they are signaling an assessment: U.S. Treasury bonds no longer qualify as a safe haven.

U.S. debt: A vicious cycle eroding confidence

The numbers behind this withdrawal are alarming. The United States faces a national debt of $38.4 trillion, with a debt-to-GDP ratio exceeding 126%. By fiscal year 2025, interest payments will reach $1.2 trillion—a figure that completely surpasses the defense budget. This means nearly 19 cents of every dollar collected in taxes goes directly toward servicing existing debt.

This situation has created a classic debt trap: the U.S. is forced to issue new debt to service the old debt. Each fiscal cycle worsens the problem, shrinking fiscal space for productive investments. Nordic pension funds, after decades of considering Treasury bonds as a safe anchor for their portfolios, have come to a blunt conclusion: the U.S. fiscal situation is unsalvageable under current policies.

Accelerated de-dollarization: Gold and cryptocurrencies gain ground

The inevitable consequence is the loss of confidence in the dollar’s hegemony. The share of the U.S. currency in global reserves has fallen to 46%, a historic low. Simultaneously, demand for gold as a safe-haven asset has surged, pushing its share to 20%. This structural shift reflects an uncomfortable truth: the world is seeking alternatives.

Geopolitical threats from the Trump administration—including retaliations against allies who unwind positions in Treasuries—only accelerate this process. No one wants to bear the risk of financial sanctions. The global consensus on de-dollarization is now irreversible.

What is the next step for this freed-up capital? U.S. Treasury bonds have evolved from a low-risk asset to a high-risk minefield. In this context, can cryptocurrencies serve as a new diversification asset for global capital seeking stability? While gold captures demand as a traditional safe haven, the digital asset market could emerge as the new frontier for allocation by sophisticated funds seeking uncorrelated exposure from U.S. monetary policy.

Real-time prices (February 10, 2026):

• ENSO: $1.31 (-2.73%)
• NOM: $0.01 (-0.99%)
• ZKC: $0.09 (+5.08%)

The Nordic capital exodus from Treasuries marks the beginning of a new era of global asset diversification. The question is not whether the world will continue abandoning U.S. Treasury bonds, but which assets will be the winners in this new distribution of global wealth.