The National Bank of Kazakhstan (NBK) is considering investing in crypto assets in the range of $50 million to $300 million.
According to RBC, NBK Chairman Timur Surmenov said NBK will wait until “things calm down a bit” following the sharp market correction. Mr. Slyumenov said that investment funds would not come from the Wealth Fund, but directly from the central bank’s foreign exchange reserves.
Slyumenov said in a statement that the planned investment amount is uncertain, using the following language:
“This doesn’t mean you’re taking $300 million and investing it right away. You’ll probably limit it to 50 million, maybe 100 million, maybe 250 million. After the sharp decline in the overall crypto market, you’ll have to reevaluate returns, monetization, and risk.”
The cryptocurrency market has lost a total of $500 billion since the beginning of November. Bitcoin’s price fell 17% from $110,000 to $81,000, its lowest level in seven months.
The NBK chairman said that investment portfolios related to high-tech stocks and digital financial products have already been created in the central bank’s reserves, but there is no need to rush to make new cryptocurrency investments.
“Following the decline in digital and crypto assets, we need to calm the market turmoil. We will not make hasty decisions.”
In early November, Slyumenov told Bloomberg that he would create a national crypto fund worth up to $1 billion. The fund will reportedly invest in more traditional and auditable structures, such as exchange-traded funds (ETFs) and stocks of crypto companies.
*This is not investment advice.
