Pakistan is taking an innovative step to tackle its energy sector challenges by allocating part of its surplus electricity toward Bitcoin mining and AI data centers. This initiative is led by the Pakistan Crypto Council, in collaboration with the country’s Finance Ministry. Pakistan’s energy sector has faced high electricity tariffs and overcapacity issues, further complicated by rapid solar energy adoption, as many consumers are shifting to solar to avoid high energy costs.
Key Players:
Bilal Bin Saqib, Chief Advisor to the Finance Minister and CEO of the Pakistan Crypto Council, is leading the charge. He highlights that Pakistan already has 15-20 million crypto users and ranks among the top 10 global crypto adopters, even without a formal regulatory framework.
Changpeng Zhao (CZ), founder of Binance, will serve as a strategic adviser to the Council. His role includes:
Supporting blockchain infrastructure development.
Advising on regulatory frameworks.
Assisting national initiatives for digital currencies, crypto mining, and blockchain education for youth.
Notably, Zhao previously served four months in U.S. prison after pleading guilty to violating anti-money laundering laws.
Strategic Goals:
Energy Utilization: Pakistan aims to use surplus power from regions with overcapacity to power Bitcoin mining centers and AI data operations. Specific locations are being selected based on power availability.
Economic Boost: The initiative is expected to stimulate job creation and economic growth, especially in the fintech and freelancer economy. Pakistan is already the third-largest global freelancer economy, and this move could expand digital exports.
Youth Upskilling: There is a significant focus on training Pakistan’s youth in blockchain and AI technologies, to position the country as a tech talent hub.
Regulatory Sandbox: Pakistan plans to establish "regulatory sandboxes" — safe testing environments for new fintech and blockchain initiatives to encourage innovation without the risk of regulatory penalties.
This strategy places Pakistan at the intersection of fintech innovation and energy efficiency. By embracing crypto and AI infrastructure, Pakistan hopes to turn current economic and energy sector challenges into growth opportunities, positioning itself competitively on the global stage.
