ALMATY, Kazakhstan / Eurasian Newswire / – Kazakhstan has put about $100 million of its National Strategic Crypto Reserve into cryptocurrency-focused hedge funds, including Ege DeFi, Brevan Howard Digital and PDO, Bloomberg reported on November 5. A further $90 million went into cryptocurrencies and Bitcoin-focused exchange-traded funds. The figures were presented by Batur Vakhidov, head of the National Bank’s monetary operations department, at a conference in Almaty.
Bloomberg grouped the $90 million together without saying how much went to tokens and how much to ETF shares. Its report did not describe the products as spot funds. Deputy Governor Binur Zhalenov later told the state news agency Kazinform that about $190 million had been invested by the end of October. In the interview, published on November 9, he said the portfolio was being built in stages after an assessment of returns and risks.
The reserve was set up in December 2025 with $700 million. Half came from the central bank’s gold and foreign exchange assets and half from the National Fund, with each contributing $350 million. The invested amount represents roughly 27.1% of the total, leaving about $510 million yet to be deployed. Kazakhstan, Central Asia’s largest economy, has made the reserve part of a wider push into digital assets.
Central bank arm manages the portfolio
The National Bank has assigned management of the reserve to its wholly owned National Investment Corporation, which was chosen for its experience with alternative investments. The Central Securities Depository handles accounting and storage of the digital assets. The investment mandate covers digital assets, related derivatives, and shares or stakes in companies developing or investing in the sector. The bank said in February that it did not plan to use budget funds.
Potential hedge fund managers underwent due diligence, with final selection subject to internal reviews and approvals. Officials set the portfolio’s risk parameters and target returns and worked on its operating framework. In January, the corporation opened an account for crypto-related investments and shortlisted five hedge funds. Governor Timur Suleimenov said crypto venture capital funds could receive allocations later. Seized cryptocurrencies were also expected to help build the reserve.
Gold and crypto in state reserves
In March, Deputy Chair Aliya Moldabekova said investments were expected to begin in April or May, Reuters reported. Suleimenov said the selection process covered crypto-linked technology companies, index funds and instruments that track digital assets. Kazakhstan’s move adds digital assets to reserves that have traditionally relied on gold, as central bank gold buyers have outpaced sellers since 2020. The bank will report annually to the Council for National Fund Management.
The National Bank has also distanced itself from the Alem Crypto Fund, saying in September 2025 that it was not state-owned and could not manage sovereign reserves. Any US-listed holdings could fall under SEC Form 13F reporting, which covers managers with investment discretion over at least $100 million in qualifying securities, including government-linked accounts. Crypto markets have been volatile this year, as when Bitcoin reacted to a $17.3 trillion oil shock warning.