Kazakhstan Plans $500M-$1B Crypto Reserve Fund

Kazakhstan's government announced plans this week to establish a national cryptocurrency reserve fund valued at between 500 million and 1 billion U.S. dollars, drawing on seized digital assets and portions of the country's existing reserves to bolster its financial diversification efforts.

Berik Sholpankulov, deputy chairman of Kazakhstan's National Bank, revealed the initiative during a parliamentary session, as reported by local and international outlets. The fund aims to integrate cryptocurrency into the nation's strategic assets without directly holding volatile tokens. Instead, officials plan to invest in cryptocurrency-related exchange-traded funds and shares in blockchain companies. "We are considering the possibility of using part of the National Fund's assets and gold and foreign exchange reserves for investment in crypto assets," Sholpankulov said. Confiscated digital assets from criminal probes and mining operations will form the initial capital, transferred to the fund for management as a government strategic reserve.

Sholpankulov indicated the fund could launch as early as the end of this year or January 2025, with oversight from the Astana International Financial...