Expert Recommends $10B Crypto Reserve for India Including Bitcoin and XRP

Financial expert Aravind urges the Reserve Bank of India to create a $10 billion crypto reserve with assets like Bitcoin and XRP. He suggests India could model this initiative after the U.S. crypto reserve structure. The proposal follows the U.S. executive order for a similar reserve, stirring international discussions on cryptocurrency as a national asset.

A leading financial expert has urged the Reserve Bank of India (RBI) to establish a strategic crypto reserve, recommending that it should include major cryptocurrencies such as Bitcoin (BTC) and XRP. The expert, Aravind, suggested that the Indian government initiate this programme with four key assets: XRP, BTC, Solana (SOL), and Ethereum (ETH). By adopting a framework similar to that of the United States, India can efficiently develop its digital asset holdings.

Aravind proposed that India begin its crypto reserve with a minimum investment of $10 billion, which he considers a modest allocation relative to the nation’s substantial foreign exchange (Forex) reserves. Currently, India’s Forex reserves exceed $650 billion, making a $10 billion commitment to a crypto reserve feasible. Aravind noted that the government could fund this by reallocating some reserves from ‘soon to be weak’ fiat currencies.

His call for a strategic crypto reserve gained momentum following a recent executive order by U.S. President Donald Trump, which mandated the establishment of a similar crypto reserve. The U.S. reserve is set to hold Bitcoin and other altcoins based on specified criteria, including a list of cryptocurrencies mentioned by Trump such as XRP, SOL, ETH, and Cardano (ADA).

While Aravind’s proposal encourages India to consider converting portions of its Forex reserves into cryptocurrencies, the U.S. initiative focuses on using digital assets acquired through legal means like forfeiture. The current valuation of the U.S. blockchain wallet holding seized crypto assets is approximately $17.11 billion, with Bitcoin making up about $16.73 billion of that total. Importantly, the U.S. plans to expand its Bitcoin reserve using funds sourced outside its national budget plans.

Following the U.S. initiative, discussions surrounding cryptocurrency reserves have surfaced in various countries. While some nations, like South Korea and Japan, have rejected the idea of holding Bitcoin as a reserve asset, Brazil has expressed that Bitcoin is a vital resource for fostering national growth.