22-3-2025 – Pakistan has unveiled ambitious plans to become a hub for cryptocurrency mining operations. The nation’s power authorities are crafting bespoke electricity tariffs to entice blockchain technology firms and crypto mining enterprises.
The initiative emerges from weeks of intensive consultations between the Power Division and industry stakeholders, with authorities seeking to establish competitive rates without implementing subsidies. This strategic approach aims to utilise surplus electricity whilst offering miners relief from their substantial operating costs, which currently consume approximately 70% of their earnings.
The newly established Pakistan Crypto Council (PCC), under the leadership of Chief Executive Bilal Bin Saqib, has engaged in promising discussions with Power Minister Awais Leghari. Their dialogue preceded a landmark council meeting chaired by Finance Minister Muhammad Aurangzeb, where high-ranking officials from the State Bank of Pakistan, Securities and Exchange Commission, and various ministries convened to chart the nation’s digital future.
The venture, however, faces considerable challenges. Bitcoin mining’s voracious appetite for electricity—surpassing the annual power consumption of nations like Argentina and the Netherlands at over 130 terawatt-hours—necessitates robust infrastructure. Pakistan must address its power stability concerns to position itself attractively in the global mining landscape.
Recent history offers cautionary tales from other nations’ experiences with cryptocurrency mining. China’s dramatic 2021 ban cited environmental concerns and energy shortages, whilst Iran’s subsidised mining operations face periodic shutdowns during peak consumption. Kazakhstan’s initial embrace of the industry has led to increased tariffs and taxation due to mounting energy deficits.
Finance Minister Aurangzeb envisions the PCC as a unifying force in developing a comprehensive regulatory framework for digital assets. “We’re embarking on a transformative digital chapter,” he remarked, emphasising Pakistan’s commitment to establishing a transparent financial ecosystem that champions emerging technologies.
The council has adopted a measured approach, pledging to synthesise global best practices with local market conditions. Their strategy encompasses pilot programmes and strict adherence to international standards, whilst addressing the regulatory clarity that has historically hindered Pakistan’s digital asset adoption.
