In a rapidly shifting global landscape, Trump’s administration is steering the U.S. towards isolationism and aggressive deregulation, distancing itself from multilateral agreements and reshaping the country’s economic approach. Treating America like a streamlined corporation, Trump’s strategy has realigned the market and challenged the very institutions that the U.S. once built.
Post-pandemic, the U.S. is insulating itself further while innovating its monetary systems. Cryptocurrencies like Bitcoin, XRP, and Solana are now part of the “Digital Asset Stockpile,” with Bitcoin acquired via seizures placed into a “Strategic Bitcoin Reserve,” signalling a potential evolution of the monetary system.
Against this backdrop, Pakistan launched the Pakistan Crypto Council (PCC) in March 2025, a necessary, albeit delayed, step towards engaging with the digital financial revolution.
History offers valuable lessons. Much like the 19th-century U.S., where over 8,000 unregulated banknotes existed before the Federal Reserve centralised currency issuance, today’s cryptocurrencies mirror a similar chaotic innovation stage. Events like Roosevelt’s gold confiscation, the Bretton Woods Agreement, and the establishment of the Petrodollar Agreement in the 1970s show how financial shifts can redefine global orders.
Bitcoin’s volatility, reminiscent of gold’s early days, hints at a plausible shift towards a new global monetary order based on digital assets. The question remains: will Pakistan seize this opportunity or lag?
Countries like El Salvador, Russia, and Iran have already embraced crypto assets to different degrees, while China supports crypto innovation through Hong Kong. Meanwhile, BRICS nations explore de-dollarisation through local and digital currencies. In 2023, 90% of $200 billion in Russia-China trade was settled in local currencies, possibly setting the stage for a digital transition.
Japan’s Bank of Japan recently integrated XRP into its system, highlighting the importance of quick adaptation. Bitcoin accumulation has become a strategic tool:
- The U.S. holds over 207,000 Bitcoins.
- China owns 194,000.
- The UK controls around 61,000.
- Bhutan surprisingly emerges as the fifth-largest holder with 13,000 Bitcoins, accounting for 35% of its GDP.
Pakistan’s PCC is taking its first steps, such as proposing Bitcoin mining using surplus electricity, but risks falling behind without urgent reforms and regulatory clarity.
Bitcoin’s scarcity (capped at 21 million coins) enhances its potential as an inflation hedge. Elon Musk’s recent doubts over U.S. gold reserves have only heightened interest in Bitcoin as a verifiable reserve asset. If widely adopted, Bitcoin could revolutionise national debt management, particularly for debt-heavy nations like the U.S.
In an unprecedented move, Trump addressed the Digital Asset Summit in March 2025, signalling America’s ambition to dominate the new digital economy. Meanwhile, nations like the UAE, Singapore, and China aggressively invest in blockchain infrastructure, the UAE’s $2 billion investment in Binance being a prime example.
Pakistan, however, risks falling irreversibly behind. India’s progressive taxation and regulation of virtual digital assets starkly contrast with Pakistan’s blocked Virtual Assets Bill 2025.
The future of Pakistan’s digital economy hinges on bold leadership, technical expertise, and swift regulatory action. The world is entering a new financial era, and Pakistan must move fast before it’s too late.
