As global attitudes toward crypto evolve, a top Indian financial expert has urged the Reserve Bank of India (RBI) to create a $10 billion digital asset reserve, citing Bitcoin (BTC), XRP, Ethereum (ETH), and Solana (SOL) as strategic holdings.
A Modest Bet from a Massive Forex Reserve
Financial pundit Aravind has proposed that India should allocate just $10 billion from its $650+ billion Forex reserves to build a crypto reserve. Calling it a “modest bet,” he argued this move would strengthen India’s digital financial standing while hedging against weakening fiat currencies.
He recommended funding the reserve by reallocating a small portion of India’s existing foreign exchange, which is currently heavy on traditional fiat currencies expected to lose value.
Following the U.S. Playbook
Aravind’s proposal closely follows the U.S. government’s recent crypto reserve directive, spearheaded by President Trump. The U.S. reserve will mainly hold Bitcoin, with select altcoins like XRP, ETH, SOL, and ADA also under consideration.
However, unlike Aravind’s approach, the U.S. plans to grow its reserve through civil and criminal crypto forfeitures, not by dipping into government funds.
India’s Opportunity for Strategic Positioning
Aravind believes India can leap ahead in digital finance by adopting a crypto reserve early, taking cues from the U.S. model rather than building from scratch. The expert has been a consistent voice in pushing for this strategic shift, especially after the U.S. formally committed to a crypto reserve policy.
By including assets like Bitcoin and XRP, India could gain exposure to both store-of-value and utility-focused cryptocurrencies, potentially bolstering its economic resilience and global tech influence.
A Divided Global Response
The U.S. crypto reserve has sparked debate worldwide. Countries like Japan and South Korea have rejected the idea of holding crypto in national reserves. On the other hand, Brazil and some emerging economies view Bitcoin as a valuable national asset.
With the U.S. already holding over $17 billion in crypto, primarily in Bitcoin, the pressure is mounting on nations like India to make their stance clear in the rapidly changing global financial landscape.
