One among the four Pakistan provinces, Khyber Pakhtunkhwa (KP) is launching two state-owned Bitcoin mining farms. The announcement was made last week according to the reports on local outlet BOLNews.
This announcement marks the first instance of a government using its own funds to mine Bitcoin.
The information technology officer of KP, Ziaullah Bangash, said that a legislative bill that supported such operations was released in the province’s Assembly. Along with this bill, a separate no-objection certificate was also passed. These bills allow individuals to launch and issue their own cryptocurrencies without legal backlash.
Pakistan’s attitude towards Bitcoin was the same as in other countries. The sector is still under bureaucracy, but the local governments have pushed for regulations to help the state’s coffers. The state’s coffers are the one that enhances broader acceptance of digital currencies.
The KP administration has led the efforts of the state’s coffers in this regard. The administration now favors Bitcoin mining. The KP Assembly officials passed a resolution to Pakistan’s central government that called for legalizing Bitcoin mining and ownership across the country. The resolution stated,
“We appeal the central government to carefully consider our proposal for legalizing cryptocurrency”.
This development came on Monday when one of the country’s first privately-owned mining farms was launched by Waqar Zaka. Waqar Zaka is a self-styled crypto influencer.
Zaka tweeted,
“After years of struggle, I am launching the biggest crypto mining farm in KPK where you all can invest & earn.”
Using Bitcoin mining as a source of income and economic growth is not unprecedented. In the last year, Iran’s central government said it would purchase Bitcoin from miners in the country to fund imports and facilitate trading.
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