Kazakhstan Announces Plans for State Crypto Reserve Funded by Mined Assets
Kazakhstan's National Bank Chairman, Timur Suleimenov, announced plans to create a state crypto-reserve, reflecting the country's increasing engagement in digital assets. Key details include:
- The reserve may be managed by a National Bank affiliate.
- Funding could come from confiscated crypto-assets and state-participated mining.
- Centralized management will ensure safety and oversight of state crypto holdings.
Authorities are developing frameworks for efficient reserve construction. Kazakhstan's crypto initiatives began in 2021, following China's mining bans, drawing miners due to low energy costs. The country supports crypto mining and blockchain developments, with legislative amendments underway to regulate digital asset turnover.
A Digital Asset Regulatory Sandbox has been launched for local market participants to test blockchain services under oversight. Additionally, Solana signed a Memorandum of Understanding with the Kazakhstan government to promote blockchain startups and enhance capital market tokenization.
Regional Trends
Kazakhstan's initiative aligns with a broader trend in Asia, where governments are exploring state-backed crypto reserves:
- Bhutan is now the third-largest sovereign Bitcoin holder, with over 13,000 BTC, equating to 40% of its GDP.
- Pakistan announced plans for a sovereign Bitcoin reserve to monetize excess energy and attract foreign tech investments.
- India's ruling party suggested a Bitcoin reserve pilot, inspired by Bhutan's success.