IMF sounds alarm, says 2,000MW Pakistan Bitcoin mining power plan could create energy crisis

The International Monetary Fund (IMF) has slammed the controversial Pakistan Bitcoin mining power plan, questioning its legality and economic viability as the country battles chronic electricity shortages and stalled bailout talks.

IMF demands answers on the Pakistan Bitcoin mining power plan

Pakistan’s ambitious proposal to allocate 2,000 megawatts of electricity for Bitcoin mining and AI data centers has triggered urgent IMF scrutiny. According to local reports, the Fund was blindsided by the announcement and is now demanding immediate clarification from Islamabad on how the Pakistan Bitcoin mining power plan aligns with existing energy policies and crypto regulations.

“There are serious concerns about power tariffs, resource allocation, and the legal status of cryptocurrency in Pakistan,” an anonymous official close to negotiations told Samaa. “This move has complicated an already tense dialogue with the IMF.”

Energy crunch meets crypto ambition

The Pakistan Bitcoin mining power plan comes at a precarious time. Rolling blackouts and soaring energy costs have plagued the nation for years, raising doubts about the feasibility of diverting massive power reserves to crypto mining.

Critics argue that Pakistan, already struggling to meet household and industrial electricity demands, cannot afford to gamble on volatile digital assets. Meanwhile, proponents see the Pakistan Bitcoin mining power plan as a bold step toward modernizing the economy and attracting foreign blockchain investment.

Digital asset authority to oversee crypto expansion

At the heart of Pakistan’s crypto push is the newly approved Pakistan Digital Asset Authority (PDAA), tasked with regulating exchanges, stablecoins, and tokenized assets. The body aims to align the Pakistan Bitcoin mining power plan with global anti-money laundering (AML) standards set by the Financial Action Task Force (FATF).

The PDAA’s creation follows Islamabad’s high-profile launch of a national Bitcoin reserve at Bitcoin Vegas 2025, where Prime Minister Shehbaz Sharif’s crypto adviser, Bilal bin Saqib, unveiled plans for a government-backed Bitcoin wallet.

IMF schedules emergency talks on crypto power grab

With virtual negotiations already underway, the IMF has reportedly called for a dedicated session to dissect the Pakistan Bitcoin mining power plan. Key concerns include:

• Legal ambiguity: Pakistan lacks clear cryptocurrency laws.

• Energy trade-offs: Can the grid sustain mining operations?

• Fiscal risks: Will power subsidies for miners worsen budget deficits?

Binance’s Zhao joins Pakistan’s crypto council

In a strategic move, Pakistan appointed Binance co-founder Changpeng “CZ” Zhao as an adviser to its National Crypto Council in April. His role includes shaping policies for the Pakistan Bitcoin mining power plan and accelerating blockchain adoption.

The Council has also proposed using surplus energy for mining—a contentious idea given Pakistan’s fragile power infrastructure.

A high-stakes gamble for Pakistan’s economy

The Pakistan Bitcoin mining power plan symbolizes a broader shift in Islamabad’s approach to digital finance. However, with the IMF tightening scrutiny and energy shortages unresolved, the initiative risks backfiring.

As talks continue, will Pakistan’s crypto ambitions energize its economy, or plunge it deeper into crisis?