Pakistan Unveils Plans for Strategic Bitcoin Reserve at Bitcoin 2025

On May 28, Pakistan announced its intention to establish a government-led Strategic Bitcoin Reserve, marking a significant pivot from its historically cautious stance on cryptocurrencies. The announcement, made by Bilal Bin Saqib, Special Assistant to the Prime Minister on Blockchain and Crypto and CEO of the Pakistan Crypto Council, took place during a keynote address at the Bitcoin 2025 conference in Las Vegas. This move positions Pakistan as one of the first South Asian nations to embrace Bitcoin as a long-term sovereign asset, alongside plans to allocate 2,000 megawatts of surplus electricity to support Bitcoin mining and AI data centers.

Details of the Strategic Bitcoin Reserve

Bilal Bin Saqib emphasized that the reserve, stored in a national Bitcoin wallet, is intended as a permanent holding rather than a speculative asset. “This wallet, the national bitcoin wallet, is not for speculation or hype. We will be holding these Bitcoins and we will never, ever sell them,” he stated. While specific details on the reserve’s size or acquisition methods remain undisclosed, Saqib noted that the initiative draws inspiration from the United States’ pro-Bitcoin policies, particularly those championed by President Donald Trump. In March, Trump signed an executive order designating cryptocurrencies, including Bitcoin, previously seized by the U.S. Treasury, for the establishment of a U.S. national Bitcoin reserve.

In addition to the reserve, Pakistan’s government is allocating 2,000 megawatts of surplus energy to support Bitcoin mining operations and AI data centers, aiming to generate revenue, create jobs, and attract foreign investment. Saqib invited global developers to build in Pakistan, emphasizing opportunities like tokenized assets and wallets for the unbanked, stating, “We have over 100 million unbanked people. They lack tools for saving, for investment, and we want to change that. We want them to break their economic classes. And I really believe that crypto and blockchain can help us take that quantum leap.”

Pakistan’s Policy Shift Toward Cryptocurrencies

Pakistan’s crypto journey has been turbulent. Until recently, the government maintained a hardline stance against cryptocurrencies. In May 2023, Pakistan’s State Minister for Finance and Revenue, Aisha Ghaus Pasha, stated that the country would ban cryptocurrency services operating within its borders and would never legalize cryptocurrency trading.

However, recent reforms signal a shift. In March, Pakistan established the Pakistan Crypto Council to draft regulatory frameworks. In April, Binance co-founder Changpeng Zhao was appointed as an advisor to the council, and the Trump-backed World Liberty Financial signed a letter of intent to support Pakistan’s tokenization efforts. Additionally, the Ministry of Finance commissioned the Pakistan Digital Assets Authority (PDAA) to regulate crypto platforms, further formalizing the sector.

This shift aligns with Pakistan’s broader economic challenges, including reliance on IMF bailouts and currency depreciation. Saqib framed Bitcoin as a tool to empower the unbanked and reduce economic inequality, noting Pakistan’s “tech-savvy youth” as a key asset. The allocation of surplus energy for mining also leverages Pakistan’s infrastructure to generate revenue, addressing fiscal constraints.

Looking Ahead

The establishment of the Strategic Bitcoin Reserve and mining initiatives marks the beginning of Pakistan’s crypto ambitions. The PDAA is expected to implement comprehensive regulation of Pakistan’s cryptocurrency sector, including overseeing licensing for all Virtual Asset Service Providers (VASPs) such as exchanges, wallets, custodians, and brokers. It will also have jurisdiction over decentralized finance (DeFi) platforms, tokenized companies, and stablecoin issuers. Additionally, the PDAA will provide legal clarity for digital asset investors and promote the development of large-scale blockchain solutions, supporting the tokenization of government debt and national assets.

As Pakistan navigates this transition, challenges remain, including regulatory enforcement and public access to crypto markets. The success of these initiatives will depend on transparent implementation and global partnerships. For now, Pakistan’s bold move signals its intent to carve a place in the global digital economy, inspired by but distinct from Western models.