Kazakhstan may fuel $1B crypto reserve with gold, FX and seized assets

The government is reportedly converting part of its sovereign wealth and gold holdings into digital assets, signaling the rise of crypto as a state-level asset class.

Kazakhstan’s government is reportedly considering converting a portion of the country’s National Fund assets, as well as part of its gold and foreign exchange reserves, to fund a cryptocurrency reserve.

According to The Times of Central Asia, Berik Sholpankulov, deputy chairman of Kazakhstan’s National Bank, announced the initiative during a recent parliamentary session. A Bloomberg Law report Friday suggested the government aims to allocate between $500 million and $1 billion to the effort.

“I think by year end, January next year, we will have it up and running,” Sholpankulov said, according to Bloomberg. Sholpankulov added that the creation of a state-managed crypto asset fund is under discussion among government officials. “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,” he said.

Read more