After which, now while living in Pakistan, crypto mining and crypto trading can be done legally
1 Today’s topic will be what is crypto mining
- How can we do it in Pakistan
- In Pakistan, can crypto mining benefit the government electricity
- How much benefit can we take from crypto mining on solar energy and batteries backup
- What will happen to the 2000 megawatts electricity that the Pakistan government had allocated for mining
- While living in Pakistan, for which people can the crypto mining business be profitable
- Is crypto mining still a very good profitable business today
I will share my 12 years of experience and tell you how the Bitcoin mining business can be made profitable and what are those mistakes due to which we cannot get considerable profit from this business
What is crypto mining? Crypto mining is a process in which computer hardware (like GPUs or ASICs) is used to verify transactions on the blockchain network and new cryptocurrency (like Bitcoin) is generated. This process solves complex mathematical problems and in return, miners get rewards. It consumes a lot of electricity and requires hardware.
How can crypto mining be done in Pakistan? In Pakistan, the legal status of crypto is still in a transitional phase. Under the Virtual Assets Ordinance 2025, a framework to regulate crypto has been established, which came into effect from July 2025 and was extended for 120 days in November 2025, which will continue until March 2026. Right now it is not fully legal, but it is also not criminal, and the government is moving towards regulation. NOC has been issued to companies like Binance and HTX.
In Pakistan, can crypto mining benefit the government electricity
In Pakistan, the cost of electricity is 0.08 cents. And all government taxes are in addition to that which altogether make the price of one unit in Pakistan reach from 30 rupees to 50 rupees. At this electricity price, mining cannot prove beneficial in any way. Meaning doing crypto mining on home government electricity cannot be beneficial in any way
Now the next question people have is that I have solar installed at home, I want to do mining on solar. And there is also battery backup installed. In response to this question, when I ask people how much setup is installed, some say 5 kilowatt and some say 10 kilowatt. Look, mining is not such a process in which you need electricity for a few hours. In mining, you have to continuously use electricity 24/7 at full load. And a 5 or 10 kilowatt solar system is not enough for that. For example, if we talk about 10 kilowatt, then a 10 kilowatt solar system means it can continuously provide you 2 to 2.5 kilowatt electricity.
10 kilowatt by no means means that it will generate and give you 10 kilowatt free of cost electricity continuously for 24 hours. And for this 2 to 2.5 kilowatt electricity that will be generated, it is mandatory for you to have net metering.
Apart from this, there is also the issue of peak hours which are in the evening for 4 hours. In short, for those with 10 to 20 kilowatt, doing mining on solar is not feasible. Yes, if someone has solar installed from 50 kilowatt upwards to 100 kilowatt, 200 kilowatt or 500 kilowatt, then it can be beneficial for them.
Now we talk about what will happen to the 2000 megawatts that the government had allocated for crypto mining. In this regard, I had a meeting with the Power Minister sahab in Islamabad a few days ago. When I asked him about the 2000 megawatts surplus electricity, his answer was very surprising for me. He said that in Pakistan there is no such mechanism in which we can give you electricity below 7.5 cents. Meaning even surplus electricity will be available to you only at the normal rate, so then what is the benefit of it.
Now we come to the important topic for which people in Pakistan mining is beneficial, let’s talk about this
Look, one thing that is clear is that crypto mining uses a lot of electricity. And the lower the price of electricity, the more benefit we will get. In 2013-14 when I started mining, I did a lot of research on low electricity price. As a result of this research, I understood that if while living in Pakistan we go to a mountainous area and do crypto mining with hydro turbine, then this can be a profitable business. However, in 2015, I went 800 kilometers away from my city to the mountains of Swat and installed a 50 kilowatt turbine. And I started crypto mining on it. At that time mining on GPUs was quite profitable. I installed GPU rigs and from 2015 to 2022 I kept doing mining on this hydro turbine. However, in the 2022 floods, the water turbine was destroyed by the flood.
However, these 7 years of crypto mining gave me a lot of profit because it was on free of cost electricity
The second source of cheap electricity can be available with industrialists who generate their own electricity. And use cheap fuel to produce electricity.
Like a sugar mill in which electricity is generated from sugarcane waste material (bagasse). The cost of producing electricity in such a place comes extremely low.
Apart from this, rice mills in which rice husk is used to generate electricity. This is also a very good source of producing cheap electricity..
In short, any such source in which electricity is generated in Pakistan for 10 rupees or less per kilowatt
In short, any such source in which electricity is generated for 10 rupees or less in Pakistan.
Crypto mining can be done there