Kazakhstan is establishing a billion-dollar cryptocurrency fund.

The Kazakh government is preparing to establish a national cryptocurrency reserve fund, to be financed by assets returned from abroad or confiscated, ranging from 500 million to 1 billion dollars. According to a report by Bloomberg, the fund does not plan to invest directly in cryptocurrencies; instead, it will target investment vehicles such as companies linked to cryptocurrencies and exchange-traded funds (ETFs).

The fund is expected to become operational in early 2026. In recent years, Kazakhstan has been actively pursuing policies in both cryptocurrency mining and digital finance regulations. The country has become one of the largest Bitcoin mining centers in the world, especially due to the influence of miners migrating from China. The aim of the new fund will be to evaluate the economic potential offered by the crypto ecosystem in a more institutionalized and regulated manner.

The fund will adopt an “indirect” approach in terms of investment strategy. This means it aims to avoid price volatility by not investing directly in assets like Bitcoin or Ethereum. Instead, it will allocate capital to companies focusing on crypto technology and ETFs that invest in the crypto industry. This way, the government will be able to benefit from the growth of the crypto economy while maintaining a less risky stance.

This step is seen as a new indicator of Kazakhstan's strategy to accept crypto as a tool for economic growth rather than banning it. The fund is expected to attract the attention of international investors and contribute to regional digital finance center goals. Investors should closely monitor these developments in Kazakhstan and be informed about potential investment opportunities.