Pakistan's Bold Crypto Stride: announcement of a strategic Bitcoin Reserve to be revealed in 2025, Las Vegas
Government-Backed Bitcoin Reserve Marks Shift in Pakistan's Crypto Policy
Pakistan has taken a significant step forward in its digital finance journey by announcing the development of a state-run Bitcoin reserve at the Bitcoin 2025 conference in Las Vegas. This move signals a change of heart for a nation once skeptical of digital assets, as it aims to become a major player in the global cryptocurrency market.
Head of the Pakistan Crypto Council, Bilal bin Saqib, and Minister of Crypto and Blockchain, revealed the government's intention to set up a Strategic Bitcoin Reserve. The aim is to retain Bitcoin at a national level, with plans to invest in and maintain these assets indefinitely, without any plans for sale.
Pakistan's approach is modeled on the recent efforts of the United States to build up its Bitcoin reserves. This alignment positions Pakistan alongside other countries leading in crypto adoption. The shift in policy signifies more than a policy change; it is a long-term economic strategy that includes digital assets.
Specifics on the reserve's size or funding are still unclear. However, the firm commitment to holding Bitcoin as opposed to selling it demonstrates Pakistan's ambition to include crypto assets in its national portfolio.
Originally opposed to cryptocurrency legalization, Pakistan's rapid policy reversal can be attributed to the increasing global interest in blockchain and digital money, particularly the U.S. government's more positive stance towards cryptocurrencies. The shift in sentiment began in 2025, following the formation of the Pakistan Crypto Council, a collective effort merging government officials and crypto industry experts aimed at exploring applications for blockchain, stablecoins, and decentralized finance (DeFi) apps in Pakistan's financial system.
In addition to the Bitcoin reserve, Pakistan has earmarked 2,000 megawatts of electricity for cryptocurrency mining activities and AI infrastructure projects. This allocation, vital for maintaining large-scale blockchain operations, enhances Pakistan's competitive edge in an already saturated global market. The government is also working on a comprehensive set of rules and laws governing digital assets. These regulations are designed to license crypto exchanges, set rules for DeFi protocols, and safeguard consumers.
Pakistan's crypto plans extend beyond the Bitcoin reserve, as it has forged strategic partnerships with key international crypto players. Changpeng Zhao, founder of Binance—one of the largest global cryptocurrency exchanges—serves as an advisor to the Pakistan Crypto Council. Furthermore, Pakistan has signed a Letter of Intent with U.S.-based crypto company World Liberty Financial (WLF). The partnership focuses on tokenization, stablecoin development, and defining DeFi regulations. These collaborations position Pakistan as a potential hub for crypto innovation in South Asia.
Approximately 25 million users are currently active in Pakistan's burgeoning crypto ecosystem, with annual transactions amounting to nearly $300 billion, according to Chainalysis. This suggests significant potential for the country as a significant digital asset market. The government's support for crypto technologies reflects an awareness and leveraging of this opportunity.
Pakistan's government-led Bitcoin reserve may presage a growing trend among nations incorporating cryptocurrencies as part of their sovereign wealth strategy. By investing in crypto mining and enacting strong regulations, Pakistan establishes itself as a real player in the blockchain sector, potentially influencing other governments to reconsider their crypto policies and could even lead to the formation of similar reserves or infrastructure.
- Pakistan's decision to develop a government-backed Bitcoin reserve is echoing the recent efforts of the United States, placing Pakistan among leading nations in crypto adoption.
- The Strategic Bitcoin Reserve, as announced by Pakistan's Crypto Council and Minister of Crypto and Blockchain, aims to retain Bitcoin at a national level, with long-term plans to invest and maintain these assets without any sale.
- Cryptocurrency exchanges, DeFi (decentralized finance) protocols, and stablecoin development are some areas that Pakistan is focusing on, as they plan to license these entities and safeguard consumers through comprehensive regulations.
- Binance's founder, Changpeng Zhao, serves as an advisor to the Pakistan Crypto Council, while Pakistan has signed a Letter of Intent with U.S.-based crypto company World Liberty Financial, positioning Pakistan as a potential hub for crypto innovation in South Asia.
- Pakistan has allocated 2,000 megawatts of electricity for cryptocurrency mining activities and AI infrastructure projects, making it more competitive in the already saturated global market.
- With approximately 25 million users active in Pakistan's crypto ecosystem and annual transactions totaling nearly $300 billion, as reported by Chainalysis, Pakistan shows significant potential as a major player in the digital asset market, possibly sparking a trend among other nations to follow suit with sovereign wealth strategies in cryptocurrencies.
