Pakistan Allocates 2,000 MW Surplus Power for Bitcoin Mining and AI Innovation

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26.05.2025 92 times read 2 Comments

Pakistan Provides 2,000 MW of Power for Bitcoin Mining and AI Centers

According to CVJ.CH, Pakistan has announced a major infrastructure initiative to allocate 2,000 megawatts (MW) of surplus energy for the development of Bitcoin mining farms and AI data centers. This amount represents approximately 4% of the country's total energy capacity and is sufficient to supply small nations such as Luxembourg. The electricity will primarily come from underutilized power plants that have so far remained idle. The initiative is part of a broader plan to modernize and digitize Pakistan's economy, with the newly established Pakistan Crypto Council (PCC) coordinating the efforts.

The project aims to build large mining centers in its first phase, operated by private investors but regulated by the government. Simultaneously, data centers for AI applications will be established. Pakistan positions itself as a regional innovation hub, seeking to catch up with countries like the UAE and India. The government is also working on creating the Pakistan Digital Assets Authority (PDAA), a new regulatory body to oversee crypto exchanges, wallets, tokenized platforms, and mining activities. Licensing for mining farms and tax incentives are also planned.

A key aspect of the initiative is the integration of renewable energy sources, such as solar and hydropower, into mining operations. This is intended to improve the industry's image and enable sustainable innovation. Analysts interpret Pakistan's move as a strategic signal to investors and tech companies, demonstrating that Bitcoin mining can be used as an economic policy tool rather than being associated solely with instability or energy waste. Observers compare this step to similar initiatives in El Salvador, Kazakhstan, and the United Arab Emirates.

Key Figures Details
Allocated Power 2,000 MW
Share of National Capacity 4%
Regulatory Body Pakistan Digital Assets Authority (PDAA)
  • Monetization of surplus energy
  • Attraction of international investment
  • Development of digital infrastructure
  • Promotion of renewable energy in mining
"Mining ultimately represents the most efficient method for monetizing surplus energy." (CVJ.CH)

Summary: Pakistan is dedicating 2,000 MW of surplus energy to Bitcoin mining and AI centers, aiming to modernize its economy, attract investment, and promote sustainable innovation through regulatory reforms and renewable energy integration. (Source: CVJ.CH)

Pakistan Launches State-Supported Bitcoin Mining with 2,000 MW Surplus Energy

BTC Echo reports that Pakistan is taking a leading role in state-level crypto adoption by utilizing 2,000 MW of surplus energy for Bitcoin mining and AI centers. The initiative, supported by the Ministry of Finance and coordinated by the Pakistan Crypto Council, is part of a comprehensive digital strategy. The first phase will supply energy to data centers and crypto farms, with the government expecting billions in foreign investment and the creation of new jobs.

In the second phase, the energy supply for mining facilities will increasingly shift to renewable sources, particularly solar and wind power, to reduce CO2 emissions and boost public acceptance. The Ministry of Finance has also introduced tax incentives for AI infrastructure and customs exemptions for Bitcoin mining hardware. A central element of the digital strategy is the establishment of the Pakistan Digital Assets Authority, which will regulate digital asset trading, issue licenses for crypto exchanges and wallets, and oversee the use of stablecoins, DeFi applications, and other blockchain-based services.

According to the 2024 Global Crypto Adoption Index by Chainalysis, Pakistan ranks ninth globally in crypto adoption. The government’s measures are expected to further strengthen its position in the international crypto landscape.

Key Measures Details
Allocated Power for Mining 2,000 MW
Tax Incentives For AI infrastructure and mining hardware
Regulatory Authority Pakistan Digital Assets Authority
Global Crypto Adoption Rank (2024) 9th (Chainalysis)
  • Utilization of surplus energy for digital infrastructure
  • Shift to renewable energy sources in mining
  • Customs exemptions for mining hardware
  • Regulation of digital assets and blockchain services

Summary: Pakistan is leveraging 2,000 MW of surplus energy for state-supported Bitcoin mining and AI centers, introducing tax incentives, customs exemptions, and a new regulatory authority to foster digital innovation and international investment. (Source: BTC Echo)

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Honestly some really interesting points here, and I'm a bit torn tbh. On one hand, using surplus energy for mining does sound way better than just letting those power plants go to waste. I live in a place where we hear about “stranded assets” all the time and never see any innovation around it, so props to Pakistan for at least trying something new. But a question I haven't seen covered in the comments yet (unless I missed it scrolling through): what does this all mean for regular folks in Pakistan? I mean, 2,000 MW is a lot of power – that’s like running an entire small country on computers dedicated to making more Bitcoin and crunching AI stuff.

I keep reading about huge foreign investment and job creation, which would obv be amazing for locals IF it really happens. But sometimes these kinds of projects sound good on paper and then all the benefits flow out to big investors or foreign companies, while ordinary people are left with higher energy bills or more blackouts. That’s happend plenty of times elsewhere, right? Hopefully the regulations and this new PDAA thing will keep it fair, but it’d be good to have more details on how local communities are involved or get a slice from all the mining.

Also, someone mentioned renewable energy, which is great. Using hydro and solar could help change the reputation that Bitcoin mining is just burning coal or whatever. But how fast can they really shift all this new infrastructure onto clean energy? Feels like the switch always takes longer and costs more than planned. Will be interesting to see if Pakistan can really keep up with all the environmental promises and not just end up greenwashing the whole thing.

And not gonna lie, kinda wild to see Pakistan leapfrogging in crypto adoption (9th in the world?!) while so many governments are still completely confused about the whole thing. Guess time will tell if this works out, but nice to see a government at least try something different with the tech instead of banning it or pretending it's only for criminals. Would love to hear from people actually living in Pakistan on how this is being discussed locally and if there's actually any optimism!
oh woah i wonder did annyone elese pick on the bit about the job creatons from all this? Feels like everyone tlking investments but someobody mentioned tax break for AI stuff, kinda wild. Does that mean reglar ppl can just go out an buy a tax-free graphics cad now or is it like only for big IT companyes? I dnt get how custums exmptions work tho. If someone wants to mine bitcoin in theyre garage do they also get all that benifit or just firms? Would be cool if sombody from Pakistan chime in cuz the article says “first phase” so does that mean there’s gonna be like more phases and even MORE energy for mining?! Might the second phase switch all to wind or is it just about “reducing CO2” for headlines?

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