Pakistan sees one of the four provinces begin in the Bitcoin network activity.
The Khyber Pakhtunkhwa Province (KP) in Pakistan has begun mining Bitcoin. The case has drawn attention in the country, which has been suffering for some years from a crisis in the local economy.
The activity of mining Bitcoin Superstar app is essential for the functioning of the network, ensuring that transactions are carried out safely. In addition, it is necessary to use special machines, which consume a considerable amount of energy for their operation.
Pakistan is another country to see a province legalize mining activity and start soon after in the sector.
In Venezuela, for example, mining has been legalized and there is even a mining pool in the country. The Venezuelan army has been mining Bitcoin since November 2020.
Iran, another that has been embargoed by the United States, has also resorted to Bitcoin mining. The digital currency would be the currency chosen by the countries to flee the US and bring more resources to its population.
The information from Pakistan was shared by the founder of Stacks, Muneeb, on Twitter.
„KP, the province of Pakistan that previously legalized the mining of kryptomoedas, has just approved the use of government funds for mining. The KP government is far ahead of the curve: mining Bitcoin directly!“, said the Bitcoin enthusiast
KP, the province in Pakistan that earlier legalized crypto mining, just approved the use of government funds to mine.
The KP government is way ahead of the curve: mining Bitcoin directly!
– Muneeb (@muneeb) January 12, 2021
Province’s culture is to be sovereign, and direct mining of Bitcoin by the government shows this
According to Muneeb, an important point in the culture of KP province is to be sovereign, i.e. not dependent on third parties. Thus, it became clear that the direct mining of Bitcoin carries cultural concepts of the place.
It is worth mentioning that Bitcoin is a sovereign currency and does not depend on governments or companies to operate. According to the news portal Decrypt, the start of Bitcoin mining by KP can help Pakistan find a way out of the country’s economic crisis.
Pakistan shows an important movement at a moment of Bitcoin’s prominence in the world. With growing institutional support, seeing countries also joining the digital currency movement can show the legitimacy of the technology.
In the United States, mining company is pressing for more regulation
Pakistan shows an immense potential for the growth of Bitcoin. However, for a US mining company, the sector still needs more regulation.
According to Argo Blockchain’s CEO, in a conversation with Bloomberg, the industry needs more rules. That way, more institutional investors could safely join the activity.
In recent years many companies have struck a blow with promises of mining revenues. Pressure for regulation would be a way to prevent new episodes of this kind from happening.
Argo Blockchain, worth mentioning, is a private company operating in the United States. Last year, the company’s stock, listed on the London stock exchange, rose 1,400%, or more than the appreciation of Bitcoin against the dollar, which was 300%.