Colombia’s second-largest pension fund to offer Bitcoin exposure

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Colombia’s second-largest private pension and severance fund manager, AFP Protección, is preparing to launch an investment fund with exposure to Bitcoin.

Juan David Correa, president of Protección SA, confirmed the initiative during an interview with local outlet Valora Analitik. According to Correa, access to the product will be limited and granted only through a personalized advisory process designed to assess each investor’s risk profile. Only clients who meet specific criteria will be able to allocate a portion of their portfolios to Bitcoin (BTC).

“The most important element is diversification,” Correa noted, adding that “those who can participate will find a space for a percentage of their portfolio, if they so wish, to be exposed to this type of asset.”

Protección’s move follows a similar step by Skandia Administradora de Fondos de Pensiones y Cesantías, which began offering Bitcoin exposure in one of its portfolios in September last year. With this launch, Protección becomes the second major pension fund administrator in Colombia to enter the digital asset space.

Bitcoin fund will not change core pension investments

Protección said that the new Bitcoin-linked fund does not represent a shift in how the bulk of Colombian pension savings are managed. Fixed income instruments, equities and other traditional assets remain the core of pension portfolios. Instead, the product is positioned as an additional option for qualified investors seeking diversification.

Founded in 1991, AFP Protección manages more than 220 trillion Colombian pesos (approximately $55 billion) in assets for over 8.5 million clients across mandatory and voluntary pension plans and severance accounts.

The broader mandatory pension fund market in Colombia reached 527.3 trillion pesos as of November 2025, with nearly half of those assets invested abroad.

Colombia introduces mandatory crypto reporting rules

Earlier this month, Colombia’s tax authority, DIAN, introduced a mandatory reporting framework for crypto service providers, requiring exchanges, custodians and intermediaries to collect and submit user and transaction data.

The resolution aligns Colombia with the OECD’s Crypto-Asset Reporting Framework (CARF), enabling the automatic exchange of crypto-related tax information with foreign authorities. Under the new regime, service providers must report identifying details and transaction data for reportable users, comply with due diligence and valuation standards, and face penalties if they fail to meet the requirements.

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