Bhutan, Pakistan set aside 2,000 megawatts of electricity for bitcoin mining
Pakistan government has allocated 2000 megawatts of electricity for bitcoin mining and AI data centers. Reuters reports that Pakistan has taken such steps to legalize cryptocurrencies and attract foreign investment.
A statement issued by the Ministry of Finance of Pakistan has stated that the recently established 'Pakistan Crypto Council' has been established for crypto regulation and it will take initiatives from energy management to high-tech job creation.
On May 15, while meeting with the US Acting Ambassador to Pakistan, Natalia Baker, the Council's Chief Executive Officer (CEO) Bilal Bin Saqib said that US-Pakistan relations should be strengthened in the digital economy.
He said the Pakistan Crypto Council is committed to using blockchain technology in diplomacy, education and empowerment. The council has also signed the US President Donald Trump's crypto project agreement.
Pakistan is currently facing challenges such as high electricity tariffs and excess production capacity. With the rapid expansion of solar energy, consumers are opting for electricity to avoid high costs. It is a challenge to waste the generated electricity.
A digital item issued by the private sector that can be traded as currency, it seems that there have been initiatives in countries like Pakistan, Bhutan and India to adopt and increase its use of cryptocurrency. According to a report by Binance, the world's largest cryptocurrency trading platform, South Asia's crypto market, including India and Sri Lanka, is rapidly establishing itself. The Central Bank of Sri Lanka has not yet given legal recognition to cryptocurrency.
Last year, when the price of Bitcoin reached above 97 thousand per coin, the government of Bhutan surprised everyone by simultaneously selling a large amount of Bitcoin. According to Yahoo Finance, Bhutan's state-owned company Druk Holding and Investments sold $100 million worth of bitcoin at that time.
Bhutan is using the energy produced from its hydroelectric projects for Bitcoin mining. As of now, private crypto transactions are not fully legal in Bhutan. The government and the central bank are formulating policies on the feasibility and safe use of digital currency. Bhutan recently announced the launch of a cryptocurrency-based payment system targeting international tourists.
Cryptocurrency is banned in Nepal. Cryptocurrencies are not legally recognized in India. But there it is not completely illegal. The Indian government had imposed a 30 percent tax on crypto profits in the 2022 budget. Although it appears to implicitly accept crypto transactions, investors are confused by the lack of a clear legal framework. The Supreme Court this week directed the Indian government to formulate a legal framework for crypto regulation. Agency
