Pakistan Moves to Regulate Cryptocurrencies, Aims to Power Bitcoin Mining with Runoff Energy
2min read Pakistan’s Crypto Council, a newly established body, is actively working to create a comprehensive regulatory framework for cryptocurrencies. The Council's inaugural meeting, held on March 21, saw the participation of key figures including lawmakers, the Governor of the Bank of Pakistan, the Chairman of the Securities and Exchange Commission of Pakistan (SECP), and the Federal IT Secretary. The meeting was marked by a significant proposal from Bilal Bin Saqib, the CEO of Pakistan’s Crypto Council, who advocated for the utilization of the country’s runoff energy to power Bitcoin mining operations. This proposal aims to leverage Pakistan’s abundant energy resources to support the growing cryptocurrency industry, positioning the country as a leader in crypto innovation.
The formation of the Crypto Council represents a notable policy shift in Pakistan’s approach to cryptocurrencies. Previously, the government had taken a cautious stance, with former Minister of State for Finance and Revenue Aisha Ghaus Pasha declaring in May 2023 that cryptocurrencies would never be legalized due to anti-money laundering concerns and FATF compliance issues. However, the government’s position has since evolved significantly. On November 4, 2024, Pakistan moved to regulate cryptocurrencies as legal tender, aligning with the pro-crypto policies of the U.S. administration under President Donald Trump. This shift came in the wake of Trump’s re-election and his administration’s swift embrace of pro-crypto policies, including the establishment of the Working Group on Digital Assets and the creation of a Bitcoin strategic reserve.
Ask Aime: How will Pakistan's Crypto Council's regulatory framework impact the cryptocurrency market?
The meeting highlighted the government’s commitment to building a transparent and future-ready financial ecosystem. Senator Muhammad Aurangzeb, speaking at the event, emphasized the importance of attracting investment, empowering the youth, and positioning Pakistan as a global leader in emerging technologies. The proposed National Crypto Council would function as a government advisory body, bringing together regulators, policymakers, and industry stakeholders to guide the development of cryptocurrency and blockchain regulations. This marks a clear departure from previous government positions, which had firmly opposed cryptocurrency adoption due to financial risks and regulatory uncertainty.
The shift in policy is part of a broader effort to attract foreign direct investment and position Pakistan as a leading crypto innovation hub. The meeting drew participation from key figures, including lawmakers, the Governor of the Bank of Pakistan, the Chairman of the Securities and Exchange Commission of Pakistan (SECP), and the Federal IT Secretary. The proposed National Crypto Council would function as a government advisory body, bringing together regulators, policymakers, and industry stakeholders to guide the development of cryptocurrency and blockchain regulations. This marks a clear departure from previous government positions, which had firmly opposed cryptocurrency adoption due to financial risks and regulatory uncertainty.
The proposal to utilize runoff energy for Bitcoin mining is a strategic move that aligns with Pakistan’s goal of becoming a leader in crypto innovation. By leveraging its abundant energy resources, Pakistan can support the growing cryptocurrency industry while also addressing environmental concerns. The use of runoff energy for Bitcoin mining is a sustainable solution that can help reduce the carbon footprint of the cryptocurrency industry, making it more environmentally friendly. This move is expected to attract foreign direct investment and position Pakistan as a leading crypto innovation hub, further solidifying its position as a global leader in emerging technologies.
