When the national team enters with mining machines, the fuel tank for the bull market is being quietly filled by sovereign capital!
My opinion
Don't get too excited in the short term, but it's worth betting on the long term
Pakistan's recent moves are strikingly similar to El Salvador in 2021—president personally endorsing, the nation hoarding coins, and aggressively building mining sites. Sounds exciting, right? But don't forget the big pitfall: high electricity costs could lead to failure!
Case in point: El Salvador initially mined using geothermal energy from volcanoes, costing only 30 cents per kilowatt-hour, making easy profits; but Pakistan's industrial electricity costs 1.5 yuan, leading to a daily loss of 500 yuan for mining machines. Unless the government bites the bullet to subsidize electricity costs (the IMF is currently opposing this), mining sites could quickly turn into scrap metal recycling stations.
The real good news is hidden in the 'regulatory license'
Pakistan's newly established Virtual Asset Regulatory Authority (PVARA) is the hidden ace! Issuing licenses = giving ID cards to wild exchange platforms, similar to how OKX and Bybit rushed to enter after Hong Kong issued licenses.
Personal prediction: Pakistan's 40 million crypto users (60% are post-90s) are desperate to trade. Once Coinbase and Binance secure licenses, the influx of funds could trigger the next Asian bull market.
Beware of the 'national team crash' black swan
The government is hoarding coins in one hand and mining in the other, reminiscent of the LUNA Foundation printing money to buy its own assets in 2022—it's easy to mess up when the referee plays the game. When coin prices plummet, the government may panic sell, causing fear (refer to Sri Lanka's bond collapse).
Get-rich-quick cases
El Salvador's President Bukele revealed last year: the national Bitcoin holding cost was $19,700, and it's now over 50% in profit! Even more impressive, he keeps the nation's Bitcoin in cold wallets and directly states on Twitter 'Never sell Bitcoin holdings', boldly facing the shorts—now that's what I call a faith-based holding lesson!
If you missed the 10x surge from El Salvador's national holdings, will you copy the homework this time? Hit like to let me see how many tough players have built positions. Next issue breakdown: how to stealthily invest in Pakistan exchange license concept coins!
If you are staring at the market every day and still losing money, then my most common saying applies: 'It's not that you can't do it, it's that the method is wrong.' I have completed the six rolling recovery models. I can share them, but only with those who are seriously looking to turn their situation around—no time wasters.
