Feed-Creator00

Amid crippling energy crisis, Pakistan’s crypto mining ambitions spark global concern
IMF seeks clarity on legality, power allocation, and transparency
Unilateral announcement complicates already delicate financial negotiations
At a time when Pakistan is battling one of its worst energy crises and navigating precarious economic terrain, the government’s sudden move to allocate 2,000 megawatts of electricity for Bitcoin mining and AI data centers has set off alarm bells—both domestically and internationally.
The International Monetary Fund (IMF), already in the midst of critical negotiations with Pakistan over an extended financial support program, has reportedly raised strong objections to the plan, citing concerns over resource misallocation, lack of legal clarity, and potential financial repercussions.
According to local media reports, the IMF was not consulted prior to the government’s announcement—a move that, insiders say, has only worsened tensions between the Fund and Pakistan’s economic team. “This has added an unnecessary layer of complexity to an already fragile dialogue,” said a senior official involved in the talks.
A Risky Gamble?
The proposal aims to attract global blockchain companies, autonomous miners, and AI firms to Pakistan—a country that has, until now, maintained an ambiguous legal stance on cryptocurrencies. While innovation in digital technology is essential, experts argue that prioritizing energy-intensive crypto mining in a nation plagued by chronic power outages reflects a severe misjudgment of national priorities.
Energy analysts warn that diverting such a massive volume of electricity—equivalent to the power needs of a small city—toward speculative digital ventures could disrupt grid stability, inflate tariffs, and deepen public discontent.
Moreover, the lack of transparency surrounding the decision-making process has raised eyebrows. Who will manage these operations? What regulatory safeguards are in place? Who benefits financially? These are just some of the unanswered questions that the IMF and civil society are now raising.
The Bigger Picture
Pakistan's economic team, already under pressure to meet IMF conditions regarding fiscal discipline, subsidy reforms, and revenue generation, is now caught in a difficult balancing act. The crypto mining plan, while potentially profitable in the long run, risks undermining the trust and cooperation Pakistan seeks from its international partners.
In a country where schools, hospitals, and basic industries suffer from power shortages on a daily basis, allocating scarce resources to an industry as volatile and unregulated as cryptocurrency may prove to be a policy misstep of considerable proportions.
As the government faces growing scrutiny, the coming days will likely determine whether this plan is re-evaluated—or pushed forward despite global concerns.

$BTC

$BTC
Bitcoin’s consolidation will give “the market time to digest recent gains” before entering a new upward trend, Derive founder Nick Forster tells Cointelegraph.
Bitcoin could enter a period of sideways movement following a court decision on US President Donald Trump’s tariffs, but that’s not necessarily a bearish signal, according to a crypto analyst.
“While the recent surge to over $111,000 was notable, the current price action suggests a phase of consolidation rather than an imminent breakout,” onchain options protocol Derive founder Nick Forster told Cointelegraph.
Bitcoin consolidation will help market “digest recent gains”
Forster argued that a consolidation phase could be “a healthy pause” before another “significant upward movement.” He said that this pause will give “the market time to digest recent gains and gear up for the next phase.” 

As the digital asset industry continues to evolve rapidly, the United States may be on the verge of cementing its influence in the Web3 space through a key piece of legislation. The Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act, currently awaiting a full Senate vote, could play a pivotal role in reinforcing the US dollar’s leadership in the digital financial system.
🏛️ What Is the GENIUS Act?
The GENIUS Act proposes a clear regulatory framework for US-issued stablecoins. The key features include:
·         1:1 Backing Requirement: All stablecoins must be fully backed by US dollars or dollar-denominated assets.

·         AML Compliance: Issuers must comply with anti-money laundering (AML) laws and other financial regulations.

·         Licensing and Oversight: The act introduces standardized licensing for issuers, potentially supervised by US federal agencies.
According to a May 29 report from Foresight Ventures, the bill—if passed—could solidify the US dollar’s role as the “world’s digital settlement currency.”
🌐 Strategic Importance for Web3 and the US Dollar
Zac Tsui, Investment Director at Foresight Ventures, emphasized that the GENIUS Act will allow fintech firms to build "compliant, secure, and user-centric financial solutions." This may create a safer and more reliable ecosystem for both developers and users in the Web3 landscape.
More importantly, the bill could encourage global adoption of dollar-backed stablecoins, particularly in emerging markets where access to US banking is limited but demand for stable value storage is high.
📈 Potential Implications for Crypto Markets
·         Boost in Regulatory Clarity: The GENIUS Act could remove much of the legal ambiguity surrounding stablecoins in the US.
·         Increased Institutional Participation: Clear rules may attract traditional financial institutions into the stablecoin and DeFi space.
·         Enhanced USD Dominance: With full backing and trust, US stablecoins could become the default medium of exchange in many digital ecosystems.
🔍 Final Thoughts
As global governments race to define their stance on digital assets, the GENIUS Act marks a significant milestone for the United States. It not only reaffirms the strategic value of the US dollar but also lays the groundwork for a compliant, transparent, and scalable stablecoin economy.
If passed, this legislation may become a blueprint for other countries—and a key reason why the US dollar remains not only the world's reserve currency, but also its digital one.
$USDC

Pakistan has announced a significant initiative to establish a national Bitcoin strategic reserve, marking a pivotal shift in its approach to digital assets. This announcement was made by Bilal Bin Saqib, the newly appointed Minister of State for Blockchain and Crypto, during the Bitcoin 2025 conference in Las Vegas on May 28, 2025. The government plans to hold Bitcoin in a national wallet with no intention of selling, signaling a long-term commitment to cryptocurrency as a strategic asset .
Complementing this move, Pakistan has allocated 2,000 megawatts (MW) of surplus electricity to support Bitcoin mining and artificial intelligence (AI) data centers. This allocation aims to transform excess energy into economic opportunities, attract foreign investment, and position Pakistan as a regional hub for digital innovation .
The initiative is part of a broader strategy to embrace blockchain technology and cryptocurrency, inspired in part by similar moves in the United States . By leveraging its surplus energy and focusing on digital assets, Pakistan aims to stimulate economic growth, create high-skilled jobs, and enhance its position in the global tech economy.
$BTC

  Aave founder Stani Kulechov says the Ethereum Foundation is now both supplying and borrowing from Aave, completing what he calls “the full DeFi circle.”
The Ethereum Foundation (EF) has borrowed $2 million in GHO, a decentralized stablecoin developed by Aave, in a move signaling deeper engagement with decentralized finance (DeFi) strategies.
In a May 29 X post, Aave founder Stani Kulechov said the foundation borrowed $2 million in GHO tokens. “The EF is not only supplying ETH to Aave, but also borrowing from Aave,” Kulechov wrote, describing the development as “the full DeFi circle.”
GHO is a decentralized, overcollateralized stablecoin native to the Aave Protocol. Unlike centralized stablecoins, GHO is governed by Aave’s decentralized autonomous organization (DAO), which oversees interest rates, collateral requirements and facilitator selection. 
The move highlights the EF’s growing engagement with the DeFi ecosystem, moving toward more sophisticated treasury strategies. 
$ETH