Kazakhstan's Crypto Portfolio
The Daily Crypto Update for Institutional Investors
At the start of the month, Kazakhstan’s central bank revealed USD 350M portfolio for investing in crypto companies and digital assets - The US, though dominant in headlines, is far from the only country integrating the crypto space into the national economy
Speaking at a briefing of the country’s interest rates, National Bank of Kazakhstan Governor Timur Suleimanov Timur Suleimanov revealed ‘[w]e are currently developing a list of instruments in which we will invest’ and added that ‘[t]his includes not only cryptocurrency itself.’ Suleimanov explained that the portfolio will aim to acquire ‘shares of high-tech companies related to cryptocurrencies and digital financial assets, index funds and other instruments that exhibit similar dynamics to crypto assets.’ Allocations are expected to begin in April and May.
Prior to revealing the portfolio, the central Asian country has made numerous efforts to invest in the crypto space and regulate digital assets. In September, Kazakhstan launched the Alem Crypto Fund, the country’s first state-backed crypto fund. The fund’s first allocation was made to BNB with Binance Kazakhstan acting as a strategic advisor. Bitfinex Securities, ‘a regulated platform for tokenized securities,’ and is licensed in El Salvador and the Astana International Financial Centre in Kazakhstan. According to the Chain Bulletin’s ‘Bitcoin Mining Map,’ miners in Kazakhstan account for approximately 13% of the BTC hash rate, making the country the third-largest mining hub globally
Beyond Kazakhstan, there are numerous examples of countries, often overlooked in international capital markets, embracing digital assets. Bhutan and Kyrgyzstan, for example, launched tokenized gold products late last year. Bhutan is a notable pioneer of digital asset adoption; the country began state-backed BTC mining in 2019 and now holds 11,286 BTC.The small, landlocked nation, is likely the largest BTC holder relative to its economy, with its holdings representing approximately 27% of GDP. According to data from CoinGecko, Kyrgyzstan’s token, dubbed Gold dollar (USDKG), has a market cap of USD 50M. In January, Tether CEO Paolo Ardoino told Bloomberg he believes that ‘foreign countries that are buying a lot of gold’ will eventually launch tokenized gold products.
Beyond emerging markets, BTC and digital asset integration into national economies is taking place in more developed jurisdictions as well. This morning, for example, Bloomberg reported that Hostplus, one of Australia’s largest pension funds, is considering offering BTC and other digital assets as investment options through its Choiceplus portfolio. According to CIO Sam Sicilia, ‘[t]here’s certainly a demand from some of our members who write in and say “why can’t I have access to cryptocurrency?”’
Takeaway: Since President Trump took office last year, there has been a steady stream of headlines on the integration of crypto in the US economy. At the same time, however, adoption beyond the US has also gained pace. While nations like El Salvador and Bhutan began embracing digital assets significantly sooner, it is likely that the US’ authority as the world’s largest economy further normalized crypto-friendly policy positions around the world.
CRYPTO HEADLINES
Aggregated open interest across Hyperliquid’s HIP-3 markets reached a record USD 1.74B on March 24, 2026, marking a 25% increase in one week. Trade.xyz makes up 91.3% of HIP-3 open interest, while major activity centers on tokenized real-world assets like oil and silver. - link - @TheBlock
Circle (NYSE: CRCL) has asked the European Commission to lower the market capitalization threshold for euro-denominated e-money tokens. Circle claims the proposed limits restrict institutional participation. Circle also recommended reforms to the DLT Pilot Regime to allow more crypto-asset service providers to operate. - link - @Cointelegraph
ParaFi, backed by Henry Kravis and Bain Capital Ventures, raised USD 125M for a new fund in March 2026, and an additional USD 325M since early 2025 for existing investment strategies. The firm’s focus includes stablecoin, tokenization, and institutional on-chain finance. ParaFi manages around USD 2B. - link - @Bloomberg
Invesco (NYSE: IVZ) will assume management of Superstate’s tokenized US Treasury fund, with more than USD 900M in assets, starting in Q2 2026. The fund will retain its ticker and token system, while Superstate continues managing the technology layer. - link - @CoinDesk
BitGo Prime is partnering with Susquehanna Crypto to offer institutional clients OTC access to prediction markets, allowing collateral posting in stablecoins, USD, or crypto. The service targets hedge funds and high-net-worth individuals for contracts of USD 100,000 or more. - link - @TheBlock
EDXM International, backed by Citadel Securities, plans to launch a perpetual futures contract tracking the Korean won versus the USD using a won and USD stablecoin pair. The product aims to offer a digital, lower-cost alternative to traditional non-deliverable forwards and is set to launch by early April 2026. - link - @Bloomberg
Delaware lawmakers have introduced bills to create a licensing framework for stablecoin issuers and update banking laws for digital assets. The proposed legislation includes anti-money laundering obligations and draws from federal models, but it must undergo Senate review. The State Bank Commissioner would oversee rule implementation if approved. - link - @Cointelegraph
TRON DAO has increased its AI fund to USD 1B, aiming to invest in agent identity, stablecoin payment rails, tokenized RWAs, and developer tools for autonomous financial systems. Other blockchain ecosystems, including Solana, Base, and Ethereum, have also expanded efforts in the agentic economy. - link - @Cointelegraph
Resolv Labs issued a 72-hour ultimatum offering a 10% settlement bounty if an exploiter returns 90% of approximately USD 25M extracted via unbacked USR tokens. The ultimatum includes an alternative white hat disclosure. Resolv warned of escalation, legal action, and law enforcement involvement if noncompliance occurs. Pre-incident USR redemptions are enabled. - link - @TheBlock
NovaBay Pharmaceuticals (NYSE American: NBY) announced a strategic pivot to stablecoins, renaming itself Stablecoin Development Corporation and disclosing holdings of more than two billion SKY tokens. Backed by a USD 134M private placement, the firm is focusing on protocol-aligned assets and stablecoins, particularly yield-bearing ones. - link - @Cointelegraph
Tokenized central bank money is described as essential for the scaling of Europe’s tokenized financial markets, according to European Central Bank (ECB) Executive Board member Piero Cipollone. The Eurosystem’s Pontes DLT settlement initiative is set for initial launch in Q3 2026, supporting these markets’ development. Cipollone emphasized the need for clarity in regulation, interoperability standards, and public-private partnerships. Appia, the ECB’s broader blueprint for a tokenized ecosystem, is intended for completion by 2028. - link - @Cointelegraph
TOP ARTICLES
OPEN-SOURCE RESEARCH / LONG-READ OF THE DAY
BTC Eyes the $72-$82k Air Gap, Bitfinex , March 24, 2026
Bitfinex’s weekly note discusses crypto market conditions.
CRYPTO MULTIMEDIA
Bitcoin DeFi Has Been Elusive. Can Mysten Labs Bring $1.4 Trillion Onchain?, Unchained, March 20, 2026
Mysten Labs co-founder Adeniyi Abiodun disucsses Hashi, ‘a protocol designed to unlock several financial applications for native Bitcoin in a trust minimized way.’
CHART OF THE DAY
While stablecoins have emerged as a major fixation in the west following President Trump’s support for blockchain-based dollars, Google search data shows interest is highest in countries where traditional access to dollars is strained. In this context, jurisdictions outside of the US remain key drivers of crypto adoption.
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FRNT is a digital asset investment bank offering capital markets and advisory services to institutional investors participating in or entering the space. The Company aims to bridge the worlds of traditional and web-based finances with a technology forward and compliant operation. Business lines include deliverable trading services, structured derivative products, merchant banking, advisory, consulting, lending origination and principal investments. Headquartered in Toronto, FRNT was co-founded in 2018 by CEO Stéphane Ouellette.