The Kingdom of Iceland becomes a sovereign state, yet remains a part of the Danish kingdom.

The Kingdom of Iceland (Icelandic: Konungsríkið Ísland; Danish: Kongeriget Island) was a sovereign and independent country with a constitutional and hereditary monarchy that was established by the Act of Union with Denmark signed on 1 December 1918. It lasted until 17 June 1944 when a national referendum established the Republic of Iceland in its place.Under a personal union, due to the Act of Union, the monarch was simultaneously monarch of Denmark. The Parliament of Iceland asked that Denmark represent Iceland internationally, and day-to-day matters were delegated to a Danish plenipotentiary for Icelandic affairs based in Reykjavík, and – after the German invasion of Denmark in 1940 – a regent was appointed.