James Richardson
Pakistan has officially dedicated 2,000 megawatts of excess electricity to support the development of Bitcoin mining and artificial intelligence (AI) infrastructure, signaling a bold move toward becoming a major tech and crypto hub.
This strategic initiative, revealed in a May 25 report by 24NewsHD, is a joint effort led by the Pakistan Crypto Council in partnership with the Ministry of Finance. It marks the first phase of a broader national digital transformation roadmap designed to bring in foreign investment and generate high-value tech jobs.
Massive Energy Allocation Aims to Fuel Crypto and AI Expansion
Finance Minister Muhammad Aurangzeb stated that diverting unused power toward crypto and AI centers could unlock billions in international capital, transforming Pakistanโs economic landscape. The programโs second stage will incorporate renewable energy sources to maintain a sustainable balance between growth and environmental impact.
Tax Breaks and Foreign Interest Boost Investor Confidence
To further attract global players, the government unveiled tax incentives for AI facilities and customs duty exemptions for Bitcoin mining operations. Interest from international mining firms and AI developers has surged, with several foreign delegations already visiting the country to assess investment opportunities.
According to Bilal Bin Saqib, CEO of the Pakistan Crypto Council, this marks a โdefining momentโ for Pakistanโs digital ambitions. He emphasized that a clear regulatory framework could position the country as a key player in the global crypto and AI sectors.
Saqib had initially proposed utilizing Pakistanโs excess energy for Bitcoin mining during the Councilโs first official meeting on March 21, attended by key policymakers, including representatives from the State Bank of Pakistan, the Securities and Exchange Commission (SECP), and the Ministry of IT.
Creation of the Pakistan Digital Assets Authority (PDAA)
To provide oversight and regulatory clarity, the Ministry of Finance announced on May 21 the establishment of the Pakistan Digital Assets Authority (PDAA). This new body will be responsible for:
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Licensing and regulating crypto exchanges, custodians, and DeFi platforms
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Tokenizing national assets and sovereign debt
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Enabling legal Bitcoin mining using excess energy
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Supporting blockchain innovation among startups
The PDAA will play a pivotal role in integrating blockchain into Pakistanโs financial infrastructure and monetizing energy surpluses through compliant crypto activities.
Pakistan’s Crypto Market Set for Explosive Growth
With strong grassroots adoption, Pakistan ranked 9th globally in Chainalysisโ 2024 Crypto Adoption Index, led by a surge in centralized exchange activity.
Data from Statista projects the number of crypto users in Pakistan will exceed 27 million by 2025, highlighting the country’s rapidly expanding footprint in the global crypto economy โ especially impressive for a nation with a population of 247 million.
