Pakistan Increases Bitcoin Mining Capacity by 2,000 MW for Advancements in Cryptocurrency and Artificial Intelligence
Pakistan is set to make a significant move in the crypto world, as it announces plans to allocate 2,000 megawatts (MW) of surplus electricity for Bitcoin mining and AI data centers. This ambitious initiative, part of the country's national digital transformation strategy, could potentially reshape the global Bitcoin mining landscape.
Binance founder Changpeng Zhao is lending his expertise to the cause, serving as a strategic adviser to the Pakistan Crypto Council. His involvement adds credibility to the initiative and underscores Pakistan's commitment to responsible crypto mining.
The focus on renewable energy in the second phase of the initiative mirrors similar efforts to address environmental concerns associated with mining's carbon footprint. This approach could set a precedent for other emerging economies looking to enter the crypto mining space responsibly.
El Salvador, a pioneer in state-level crypto adoption, has demonstrated the potential benefits of such ventures. Since 2021, the Central American nation's Bitcoin mining efforts, powered by geothermal energy, have yielded over 2,000 BTC.
Pakistan's government is offering tax incentives, including duty exemptions for Bitcoin miners and financial perks for AI centers, to attract global investors. The initiative's head, Bilal Bin Saqib, the head of Pakistan's Crypto Council and an adviser to the Finance Minister, outlined the plan, which includes integrating renewable energy sources into mining operations to balance economic growth with environmental sustainability.
If executed well, Pakistan could boost its digital economy and capitalise on its excess electricity to attract foreign investment and stimulate economic growth. The global annual energy consumption of Bitcoin mining is approximately 160 TWh, according to the Cambridge Bitcoin Electricity Consumption Index (CBECI) as of May 2025. Pakistan's 2,000 MW electricity allocation could serve as a model for other developing nations with surplus energy.
However, challenges remain in ensuring regulatory clarity and infrastructure development for Pakistan's Bitcoin mining initiative. Binance's Zhao is tasked with supporting blockchain infrastructure and regulatory frameworks.
Recent visits from international delegations indicate strong global interest in Pakistan's initiative. Despite no concrete evidence of specific international delegations visiting Pakistan recently for this purpose, the initiative aligns with a global trend of state-level adoption of cryptocurrency. If successful, Pakistan's Bitcoin mining initiative could inspire other nations to follow suit, potentially reshaping the global Bitcoin mining landscape.
Read also:
- Fructose Market Forecasted to Exceed $8.1 Billion by 2034
- Latest Edition of Bus-News Magazine Arrives for 2023!
- Testing the Camp Mode of the 2025 Tesla Model Y with Juniper's interior housing two kids, shockingly low CO2 levels were discovered.
- Week 40, 2024: Model 3 hits staggering 729-mile range, Spotify disabled in vehicles, China imposes tariffs, Cybertruck recall announced
