by Reza Ali
Russia’s Deputy Finance Minister Vladimir Kolychev has flatly rejected the rumors that cryptocurrencies may be included into the country’s National Wealth Fund (NWF), fearing for their high volatility.
Speaking earlier this week, Kolychev responded to rumors swirling in the Russian media that cryptocurrencies might end up in Russia’s sovereign wealth pile. According to him, the Ministry of Finance has no wish to change the current structure of the NWF to include digital assets. Kolychev said, the fund focuses on stability and avoids high risky investments. He stated:
“From the point of view of sovereign budget reserves, it is important for us that the assets in which these reserves were invested could be sold very quickly and without a large price revaluation, so that our sale does not lead to the fact that we receive not a ruble for a ruble, but 50 kopecks for a ruble. And crypto assets are an asset with increased volatility.”
Russia’s Liquid Assets Total 11.88 Trillion Rubles
Kolychev stressed the need to protect the value of Russia’s reserves and the value of a country’s assets that can be sold quickly at predictable prices. According to him, from the point of view of sovereign budget reserves, it is important that the assets in which these reserves are invested should be able to be sold without substantial revaluation of prices, because price fluctuations would lower the reserves’ value.
The NWF’s assets totaled 11.88 trillion rubles on March 1, 2025 (135.47 billion dollars), of which 3.394 trillion rubles (38.7 billion dollars) are liquid assets equal to 1.6 percent of the projected Russian GDP.
Kolychev also shot down arguments to remove cryptocurrencies from the NWF and run the idea of a government-backed cryptocurrency reserve. Asked if he heard any discussions within the Ministry of Finance about such a thing, he confirmed he had not and said, if such a proposal was to make it out, it would more likely be under the purview of the Central Bank of Russia.
Russia’s Crypto Taxation Contrasts with Kolychev’s Stance
Russia’s current position on cryptocurrencies counter to Kolychev’s statement in that the country recently began taxing Bitcoin transactions, Bitcoin mining and other transfers. In fact, Russia is also exploring the use of digital assets as a means to circumvent Western sanctions and even some lawmakers have suggested the creation of a strategic Bitcoin reserve against inflation and economic downturn.
Russia is keeping wary about adding cryptocurrencies to its National Wealth Fund while there is more talk internationally about sovereign crypto reserves. Under President Donald Trump’s administration in the United States, policymakers are mulling such an idea of a national crypto reserve, that could include a range of digital assets like Bitcoin, Ethereum, XRP and newer ones such as Solana and Cardano’s ADA.
Kolychev’s comments underline Russia’s cautious approach to integrating high-risk assets, such as cryptocurrencies, into its national financial infrastructure, and stay within the lines of the ongoing debate as to the purpose of digital assets within the state reserves.
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