according to materials from the site - By CryptoPotato_News

The National Bank of Kazakhstan (NBK) is studying how alternative assets can help the country's economy.

Kazakhstan's idea of creating a reserve is yet another example of the growing acceptance of cryptocurrency, as the country has been mining for some time and recently plans for the creation of a 'CryptoCity' have emerged.

What will be included?
According to a press release from the local news agency ‘Kursiv’, the NBK is considering the possibility of including digital assets in its sovereign and currency reserves.
The chairman of the board of the bank, Timur Suleimenov, shared his thoughts at a press conference, citing examples from other countries:

‘We have an alternative portfolio of gold and foreign exchange reserves and an alternative portfolio of the National Fund. There we use aggressive strategies to achieve higher investment returns.

We studied the experience of the Norwegian fund, American experience, and the experience of funds in the Middle East. They have certain investments either directly in crypto assets or in ETFs and stocks of companies closely related to crypto assets.’

Despite the interest in such a reserve, the bank approaches this idea with caution, as despite the potentially high returns, crypto assets are volatile.

‘This is not an easy question, so there is no need to rush here. Yes, such assets can bring high returns, but they are characterized by high volatility,’ added the head of the bank.
In addition to this reserve, Kazakhstan also plans to create a state fund for crypto assets seized by law enforcement agencies. The report also states that the infrastructure may include assets obtained through legal mining.
The largest landlocked country in the world also intends to restrict cryptocurrency trading exclusively to exchanges authorized by the Astana International Financial Centre (AIFC).
The current state of cryptocurrency adoption in the country
Kazakhstan has been mining for several years, with most reports dating back to 2017.

Although at that time cryptocurrency was not a legal means of payment, mining was encouraged. President Kassym-Jomart Tokayev addressed the country in his speech in 2020, calling for attracting $1.2 billion for infrastructure over five years before neighboring countries surpass them.
By the summer of 2021, the country ranked second in the world in hash rate - a measure of the computing power allocated to mining.

Recent news about 'CryptoCity' marked another step for the country in the broad adoption of digital assets. A small city, Alatau in the Almaty region, was chosen for the implementation of this project. This region is expected to be fully adapted for cryptocurrencies and will use digital assets exclusively as a means of payment.

Despite all achievements and obstacles, Kazakhstan still lags behind its global competitors in terms of retail adoption.

According to the Global Cryptocurrency Adoption Index for 2024, the country ranks 57th out of 151 countries included in the report, reflecting a relatively low volume of transactions and involvement in various blockchain protocols.

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