Russia’s Deputy Finance Minister Vladimir Kolychev has dismissed speculation about including cryptocurrencies in the country’s National Wealth Fund (NWF).

Earlier in the week, local media outlet Interfax reported that Kolychev clarified that the Ministry of Finance has no plans to alter the NWF’s investment structure to accommodate crypto due to their high volatility.

Kolychev explained that the fund prioritizes stability and avoids high-risk investments. He also emphasized that sovereign reserves should consist of assets that can be quickly liquidated without significant price swings, making crypto unsuitable for the fund at this stage.

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.”

As of March 1, 2025, the NWF managed assets worth 11.88 trillion rubles ($135.47 billion). Liquid assets accounted for 3.394 trillion rubles ($38.7 billion), representing 1.6% of Russia’s projected GDP.

No crypto reserve plans

Responding to speculation about a government-backed crypto reserve, Kolychev stated that he has not heard of any discussions on the matter.

If such a plan materialized, he suggested it would fall under the central bank’s jurisdiction rather than the finance ministry.

Interestingly, Kolychev’s stance contrasts with Russia’s broader embrace of cryptocurrencies. The country has implemented taxation policies for crypto transactions and Bitcoin mining while leveraging digital assets to navigate Western sanctions.

Moreover, some Russian lawmakers have pushed for a strategic Bitcoin reserve to counter economic sanctions and inflation. They argue that digital assets could provide financial resilience during geopolitical uncertainty.

Meanwhile, Kolychev’s statement comes when discussions about sovereign crypto reserves have gained traction globally.

Under President Donald Trump, the US is currently exploring the possibility of a national crypto reserve that would include various assets such as Bitcoin, Ethereum, XRP, Cardano’s ADA, and Solana.

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