- IMF questions Pakistan’s 2,000 MW electricity allocation to Bitcoin mining.
- Potential legal and energy concerns prompt urgent clarification.
- Initial positive market reaction, facing regulatory uncertainty.
In a bid to attract tech investments, Pakistan plans to allocate 2,000 megawatts of electricity to Bitcoin mining, raising concerns from the International Monetary Fund. Concerns center on energy shortages as the government bypassed IMF consultation.
The IMF’s request for legal and allocation clarity could delay the plan, adding uncertainty to crypto-market implications.
Pakistan’s 2,000 MW Allocation for Bitcoin: IMF Concerns
The government of Pakistan recently revealed an ambitious plan to allocate 2,000 megawatts of surplus electricity for Bitcoin mining and AI data centers. Announced at the Bitcoin 2025 conference in Las Vegas by Bilal Bin Saqib, Special Assistant to the Prime Minister, the move aims to attract independent miners, blockchain companies, and AI firms to Pakistan.
Following this announcement, the IMF swiftly questioned the allocation. They have expressed concerns about the legality of cryptocurrency mining and the potential strain on an already stressed energy supply, emphasizing the unforeseen economic pressure given Pakistan’s fiscal challenges.
IMF representative, “We have formally questioned this allocation, expressing concern regarding the legality of cryptocurrency mining and the appropriateness of allocating significant electricity resources in a country with preexisting energy shortages and fiscal pressures.”
Market Response and the Energy Debate: A Regional Outlook
Did you know? Kazakhstan’s similar approach in 2021 to allocating electricity for Bitcoin mining led to significant international scrutiny, highlighting potential parallel concerns with the IMF’s current stance on Pakistan’s policy.
According to CoinMarketCap, Bitcoin (BTC) trades at $103,421.56 with a market cap of $2.06 trillion. The 24-hour trading volume shows a 15.48% decrease. Over the last 90 days, prices have risen 20.36%.
As analyzed by the Coincu research team, potential outcomes revolve around increased miner interest in Pakistan versus regulatory challenges. Energy resource conflicts, potential legal constraints, and unclear financial impacts may set precedents for future policies in similar regions.
Source: https://coincu.com/340839-pakistan-bitcoin-mining-imf-concerns/