Key Points
- Pakistan is planning to utilize its surplus energy for Bitcoin mining and AI data centers.
- The country has shifted its stance on cryptocurrencies, aiming to create a regulatory framework for digital assets.
Redirecting Surplus Energy to Bitcoin Mining
In the wake of market upheaval due to tariff shocks, the cryptocurrency market has seen a revival. The global crypto market cap currently stands at $2.59 trillion, showing a 6.57% increase in just one day.
During this market recovery, Pakistan has identified a strategic opportunity to channel its excess electricity towards Bitcoin (BTC) mining and AI data center development. The country’s energy sector is grappling with high electricity tariffs and underutilized generation capacity.
Addressing Energy Challenges
The increasing adoption of solar energy has complicated matters, with more consumers opting for alternative energy sources. In response, the country is in talks with mining firms to set up mining centers in areas with surplus electricity, presenting a strategic opportunity to monetize excess power.
Bitcoin Pakistan reported that the government controls at least 10,000 megawatts of surplus energy that could be used for Bitcoin mining. This news follows the power division’s plan to introduce a new electricity tariff aimed at absorbing surplus power and easing the burden of capacity payments.
Changing Stance on Cryptocurrencies
This move is a significant shift from Pakistan’s previous stance on digital assets. Just a year ago, the State Bank of Pakistan and the Ministry of IT and Telecom had banned cryptocurrencies. However, the country has now reversed its stance and is actively working to regulate and integrate blockchain technology and digital assets.
The establishment of the Pakistan Crypto Council in March 2025 solidified this shift. A recent report from Chainalysis ranked Pakistan 9th in the 2024 Global Crypto Adoption Index for Central & Southern Asia and Oceania.
In a further push to this initiative, Binance founder Changpeng Zhao has been appointed as a Strategic Advisor to the Pakistan Crypto Council. This appointment reflects Pakistan’s broader goal of creating a clear regulatory framework for digital assets. The CEO of the Crypto Council, Bilal bin Saqib, stated that Pakistan aims to attract international investment as a low-cost, high-growth market with a Web3 native workforce ready to build.