Kazakhstan Plans to Establish State Crypto Reserve

Kazakhstan plans to establish a state crypto-reserve, National Bank Chairman Timur Suleimenov announced in response to a deputy's inquiry.

The concept for the state crypto-reserve formation and management, including the development of the crypto-reserve at the grounds of the National Bank affiliate, is being studied in depth, The Caspian Post reports citing Kazakh media.

The National Bank stands for an institutionally sound approach to the formation of the state crypto-reserve, following the best international practice of sovereign funds management (including sovereign crypto-reserves), the principles of transparency of accounting and storage of crypto-assets, transparency of crypto-reserve management and ensuring the sustainability (safety) of the state crypto-reserve. The international practice indicates that expropriated crypto-assets and cryptocurrencies mined by a crypto miner with state participation can become sources of such a reserve.

He added that given the crypto-assets storage volatility and threats (risks), the approach of centralized institutionalization of such management to ensure the safety of crypto-assets becomes the main guarantee for ensuring the structuring of the management of state crypto-assets.

Specific mechanisms for building the state crypto-reserve will be further developed with law enforcement and/or concerned state bodies.