Gold Over Crypto! Russia Rejects Bitcoin for National Welfare Fund— Is a Future Shift Possible?

According to Kolychev, the extreme price changes experienced by cryptocurrencies make protecting nations’ wealth funds unsuitable. For NWF asset management, the Russian government sets selling requirements that do not match the current nature of volatile cryptocurrency assets.

At present, Kolychev has observed that the Russian government lacks official discussions regarding a strategic crypto reserve, although nations such as the United States and others actively pursue such initiatives. The path to Russian crypto investment remains uncertain but governmental representatives indicate such possibility through future conditions achievement.

Could Russia Invest in Bitcoin? The Key Condition for a Policy Shift

According to Kolychev, Russia will reevaluate Bitcoin investment possibilities when the NWF attains 7-10% of GDP, but the government remains against current Bitcoin purchases. Successfully fundraising financial reserves by Russia would set the stage for government officials to look into high-risk investments, including Bitcoin. The Russian Central Bank maintains the authority to approve any financial decisions even if the fund reaches recommended liquidity levels. 

Russia's deputy finance minister says no plans to include crypto in National Welfare Fund

Vladimir Kolychev, Russia's deputy finance minister, said the Ministry of Finance has no plans to change the National Welfare Fund's investment structure, according to Wu Blockchain on X.…

— CoinNess Global (@CoinnessGL) March 6, 2025

Russian finance regulator Elvira Nabiullina remains vocal about her opposition to cryptocurrencies because she favors cutting off Russian crypto access, which is similar to China’s restriction policies. Her stance demonstrates that if the finance ministry begins to support Bitcoin investments, a Central Bank opposition may prevent the initiative from happening. During the same announcement, Anton Siluanov expressed careful measures by affirming that Russian financial authorities would maintain their cash reserves instead of moving funds into risky market activities. According to him, the establishment of a crypto reserve will remain possible in the future, but right now, it is not considered a top priority.

Crypto’s Role in Russia: Rejected for Reserves, But Gaining Traction in Trade

Russia chooses not to include Bitcoin in its monetary reserves yet other Russian financial sectors adopt cryptocurrency. The Russian government now allows Bitcoin mining and accepts Bitcoin alongside other cryptocurrencies as international payment methods especially in trading with China and Turkey. Western sanctions imposed on Russia have forced its businesses to make adjustments as they increased difficulties with traditional financial transactions.

Russia established a tax framework for digital assets that requires income-dependent taxes between 13% and 15%. Although the Russian government views digital currencies as inadequate for its monetary reserves, it still wants to establish control mechanisms to tax and derive earnings from cryptocurrency systems.

What’s Next?

Russian authorities establish rules to govern digital asset trading through a framework that approves selected high-net-worth investors and enterprise clients to trade cryptocurrencies under supervision. The Russian government has chosen this measure to match its financial plan, which restricts crypto accessibility instead of completely accepting it.

The National Welfare Fund of Russia does not hold Bitcoin yet despite the government’s increasing interest in crypto regulations and trading, which points towards potential changes in future policy. The country’s financial growth and changes in geopolitical dynamics might push officials to review their stance regarding Bitcoin and alternative digital assets.