Government Mulls Diversifying Reserves into Digital Assets
Kazakhstan's government is reportedly considering a significant financial move: converting a portion of the country’s National Fund assets, along with parts of its gold and foreign exchange reserves, to establish a cryptocurrency reserve. This initiative was announced by Berik Sholpankulov, deputy chairman of Kazakhstan’s National Bank, during a recent parliamentary session.
According to reports, the government aims to allocate between $500 million and $1 billion to this endeavor. Sholpankulov indicated that the project could be operational by the end of the year or early January of the following year. Discussions are ongoing among government officials regarding the creation of a state-managed crypto asset fund. Sholpankulov stated, "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."
Furthermore, Sholpankulov mentioned that confiscated assets would be transferred to a state digital asset fund, serving as a strategic reserve for the government. The Ministry of Digital Development has also proposed a plan to allow state-owned entities to supply energy to private cryptocurrency mining companies in exchange for cryptocurrency.
Kazakhstan's Expanding Digital Asset Strategy
This reported initiative aligns with Kazakhstan's broader push into the cryptocurrency space. In late September, the country launched a state-backed crypto reserve in partnership with the crypto exchange Binance, with BNB (BNB) being the first digital asset incorporated into its portfolio.
The nation has also been actively addressing illicit activities within the crypto sector. In early October, Kazakhstan shut down 130 cryptocurrency platforms identified as being involved in money laundering schemes and seized approximately $16.7 million in cryptocurrency.
President Kassym-Jomart Tokayev has consistently advocated for the development of a comprehensive digital asset ecosystem and has urged regulators to expedite the integration of cryptocurrencies into the nation's economic framework.
Kazakhstan is pursuing a dual approach to digital currencies, piloting its own central bank digital currency (CBDC) while simultaneously launching a stablecoin in collaboration with Solana and Mastercard.