Pakistan's government plans to use its extra electricity for Bitcoin mining operations, turning unused power into a money-making opportunity.

Bitcoin mining companies spend up to 70% of their earnings on electricity, according to reports from Pakistan's power sector.

Pakistan's government is planning to use the country's extra electricity for Bitcoin mining operations, turning unused power into a money-making opportunity. Officials have begun discussing the possibility of creating special electricity rates for foreign Bitcoin miners to help reduce costs on wasted power, reports suggest.

Power Officials Create New Rate Plan For Bitcoin Miners

Bitcoin mining companies spend up to 70% of their earnings on electricity, according to reports from Pakistan’s power sector. Representatives from the Power Division are now working on a new pricing structure that would give crypto miners cheaper electricity while still protecting government interests.

The plan addresses Pakistan’s problem of paying for unused power capacity. Unlike other countries that struggle to provide enough electricity for both mining and regular needs, Pakistan claims it can offer dedicated power systems just for crypto mining. If successful, this could attract blockchain data centers to the country.

Support for Bitcoin mining in Pakistan grew stronger after Power Minister Awais Leghari met with Bilal Bin Saqib, who heads the Pakistan Crypto Council (PCC). They discussed ways to use Pakistan’s energy supplies to attract international Bitcoin mining operations. Saqib presented energy plans that would use Pakistan’s natural resources by creating rules that work for local needs.

Later, Finance Minister Muhammad Aurangzeb led another meeting focused on making a complete plan for cryptocurrency mining in the country. Top officials from the central bank and other regulatory agencies discussed the need for clear policies and strong infrastructure for crypto mining businesses as Pakistan seeks to become competitive in the global cryptocurrency market.

The success of this project depends largely on creating well-defined rules and systems that operate efficiently. Saqib noted that the country needs special policies tailored to its economic situation to achieve success in cryptocurrency mining without impacting the power sector.

This digital mining project was described by Pakistan’s finance minister as starting “a new digital chapter” for the economy.

Creating a framework for cryptocurrency mining would help Pakistan capitalize on global trends in blockchain technology, including licensing systems, national blockchain policies, and test programs that can be used to encourage investment in this new sector while ensuring efficient use of its power resources.

The initiative stands out as an unusual approach to solving Pakistan’s pressing energy problems and could be a valuable opportunity for foreign direct investment. Instead of spending to solve its power sector issues, the government hopes this plan will generate revenue while making use of resources that currently cost the country money.