Pakistan has allocated 2,000 megawatts of surplus electricity specifically for Bitcoin mining and artificial intelligence centers. According to a May 25 report by 24NewsHD TV Channel, this initiative is part of a broader digital transformation plan led by the Pakistan Crypto Council and supported by the Ministry of Finance.
The government plans to initially channel excess power into AI infrastructure and crypto mining operations. Finance Minister Muhammad Aurangzeb anticipates this decision will attract billions in foreign investment and create high-tech jobs nationwide.
The initiative will later incorporate renewable energy sources for mining operations, balancing growth with environmental responsibility. Interest from international Bitcoin miners and AI firms has reportedly increased, with multiple foreign delegations visiting Pakistan to explore potential partnerships.
To encourage investment, the Ministry of Finance has announced tax incentives for AI centers and duty exemptions for Bitcoin miners. Bilal Bin Saqib, CEO of Pakistan's Crypto Council, hailed the development as a "turning point" for the country's digital economy.
On May 21, Pakistan's Ministry of Finance endorsed the creation of the Pakistan Digital Assets Authority (PDAA) to regulate blockchain-based financial infrastructure. The PDAA will oversee licensing and regulating exchanges, custodians, wallets, tokenized platforms, stablecoins, and DeFi applications.
The PDAA will also tokenize national assets and government debt, facilitate monetization of surplus electricity through regulated Bitcoin mining, and assist startups in building blockchain-based solutions. Pakistan ranked ninth in Chainalysis' 2024 crypto adoption index, driven by strong retail adoption and centralized service transactions.
Statista data estimates Pakistan's crypto user base will exceed 27 million by 2025, out of a population of 247 million.
This article is based on our author's analysis of materials taken from the following resource: 24NewsHD TV Channel.