Pakistan allocates 2,000 megawatts of electricity to bitcoin mining, AI data centres
Business
The allocation is part of Islamabad's plan to use surplus power to bitcoin mining and AI data centre
ISLAMABAD (Reuters) – Pakistan will allocate 2,000 megawatts (MW) of electricity in the first phase of a national initiative to power bitcoin mining and AI data centres, its finance ministry said on Sunday.
The allocation is part of Islamabad's plans to use its surplus electricity to bitcoin mining and AI data centres.
Pakistan's energy sector is grappling with challenges, including high electricity tariffs and surplus generation capacity.
The rapid expansion of solar energy has further complicated the landscape, as more consumers turn to alternative energy sources to mitigate high costs.
The initiative is spearheaded by the Pakistan Crypto Council (PCC), a government-backed body, which is part of a broader strategy to monetize surplus electricity, create high-tech jobs, and attract foreign investment, the ministry said.
The allocation is the first phase of a broader, multi-stage digital infrastructure roll-out, it added.
In April, Bilal Bin Saqib, chief executive officer of the Pakistan's Crypto Council, told Reuters the location of the mining centre will be finalised based on the availability of excess power in specific regions.
Documents seen by Reuters outline the role of Changpeng Zhao, founder of Binance, who will serve as a strategic adviser to the Pakistan Crypto Council.
Zhao was in May last year sentenced to four months in prison after pleading guilty to violating US laws against money laundering at the world's largest cryptocurrency exchange.
His role on the Pakistan council will include supporting blockchain infrastructure, advising on regulatory frameworks, and assisting with national initiatives, such as digital currency, mining, and youth education in blockchain technologies.
Saqib said the country has 15-20 million crypto users and is the third-largest global freelancer economy, with a growing fintech space.
"Pakistan is in the top 10 global crypto adopters despite it not being regularised," he said.
Saqib said he wants regulatory sandboxes, or safe environments for testing, to foster innovation and growth in the fintech and freelancer economy.
He also said upskilling Pakistan's youth in blockchain and AI can drive job creation and the economy, boosting exports through digital services, and positioning the country as a hub for emerging tech talent on the global stage.
In March, the federal government has officially established the Pakistan Crypto Council under the leadership of Finance Minister Muhammad Aurangzeb.
Also read: Crypto Council CEO calls on Field Marshal Munir to discuss digital future
During a high-level meeting at the General Headquarters (GHQ), Pakistan’s Chief of Army Staff, Field Marshal Asim Munir, held talks with Bilal Bin Saqib, CEO of the Pakistan Crypto Council (PCC).
