Pakistan and El Salvador have signed a Letter of Intent (LoI) to strengthen cooperation in Bitcoin and digital assets. The agreement was finalized during a high-level meeting in San Salvador between Pakistan’s Minister of State for Crypto and Blockchain, Bilal Bin Saqib, and El Salvador’s President Nayib Bukele. Saqib, who also heads the Pakistan Crypto Council, discussed potential partnerships in blockchain technology and cryptocurrency adoption.
The talks centered on Bitcoin and broader digital asset strategies, with analysts calling this new diplomatic approach “Biplomacy”—a fusion of Bitcoin and diplomacy. This move highlights the increasing role of decentralized technologies in shaping international relations. Pakistan is particularly interested in learning from El Salvador’s experience, as it was the first country to adopt Bitcoin as legal tender in 2021.
El Salvador’s Bitcoin investments have surged in value, with its national holdings now exceeding $760 million. The country purchased over 6,237 BTC at an average price of $42,000, and the recent price rally has nearly tripled its investment. The LoI between Pakistan and El Salvador paves the way for collaboration in public-sector blockchain adoption, financial inclusion initiatives, and policy frameworks tailored for emerging economies.
Minister Bilal Bin Saqib praised El Salvador’s pioneering Bitcoin experiment, calling it an inspiration for other nations. President Bukele expressed support for Pakistan’s digital asset ambitions, reinforcing the importance of financial sovereignty. This partnership comes as Pakistan takes steps to regulate crypto, including establishing the Pakistan Virtual Assets Regulatory Authority (PVARA) and planning a national Bitcoin reserve. The world is watching as these two nations lead the charge in crypto innovation!