Kazakhstan is establishing a billion-dollar cryptocurrency fund.

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

The fund is expected to become operational in early 2026. In recent years, Kazakhstan has actively pursued policies in both cryptocurrency mining and digital finance regulations. The country has become one of the largest Bitcoin mining centers in the world, particularly due to the influx of miners migrating from China. The aim of the new fund will be to assess the economic potential offered by the crypto ecosystem in a more institutional 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 focused on crypto technology and ETFs that invest in the crypto industry. Through this method, the government will be able to benefit from the growth of the crypto economy while maintaining a less risky stance.

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