Pakistan seems to be facing a major change, exploring Bitcoin mining to address power challenges. With excess electricity weighing on the economy, the government is considering ways to attract global Bitcoin miners to turn unused energy into profit instead of waste. Authorities hope this could be the beginning of a digital revolution here.
Government Targets Bitcoin Mining
The Ministry of Energy is considering applying a preferential electricity price for industries like Bitcoin mining, aiming to attract investors without government subsidies. The idea is simple—Miners need cheap electricity, and Pakistan has excess. Connecting this demand and supply could transform a long-standing energy problem into an economic opportunity.
The discussion was driven by an important meeting between Energy Minister Awais Leghari and the newly established Pakistan Cryptocurrency Council CEO, Bilal Bin Saqib. The goal is to turn Pakistan into a global center for cryptocurrency mining.
Pakistan's Position
Reports show Bitcoin Miners spend up to 70% of their income on electricity. Many countries have struggled to manage this demand. China banned cryptocurrency mining for environmental reasons, while Kazakhstan initially welcomed it but later imposed higher taxes. Iran offers preferential rates but often stops electricity supply for mining during peak times.
Pakistan, however, is taking a different path. Instead of burdening the national grid, the country wants to create a stable and competitive electricity supply specifically for cryptocurrency mining. This strategy could make Pakistan a global center for blockchain-based data centers.
New Cryptocurrency Regulations
In the meeting, Bilal Bin Saqib shared plans to leverage Pakistan's excess energy for Bitcoin mining, while establishing clear rules for the industry. He affirmed the country needs a policy aligned with needs and beneficial to the people.
Despite the promising plan, success depends on implementation. Clarifying regulations, complying with global financial laws, and ensuring stable supply will be key factors.
