Pakistan, El Salvador Ink Bitcoin Cooperation Deal

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Pakistan and El Salvador have signed a letter of intent to collaborate on Bitcoin adoption and blockchain technology, marking a significant step in cross-border digital finance cooperation.

In a move that signals growing international interest in digital currencies, Pakistan and El Salvador have signed a letter of intent to collaborate on Bitcoin adoption and blockchain technology. The agreement aims to foster mutual support, share technical expertise, and explore the broader use of decentralized finance (DeFi) tools between the two nations.

The signing took place at the Bitcoin Atlantis Conference in El Salvador, where key representatives from both countries highlighted the potential of blockchain and digital assets to drive financial inclusion and economic development. Pakistan’s delegation included officials from the Bitcoin Pakistan team, a private-sector-led initiative focused on educating and promoting Bitcoin technology in the country. El Salvador, which made headlines in 2021 by becoming the first nation in the world to adopt Bitcoin as legal tender, is now offering to share its experience and knowledge with Pakistan.

According to the agreement, the cooperation will cover several key areas including policy development, education, innovation, and the building of Bitcoin infrastructure. Both sides expressed interest in exchanging expertise on how Bitcoin can be integrated into financial systems, especially in emerging economies where traditional banking access is limited. For Pakistan, this collaboration could help introduce new tools for remittances, digital payments, and financial literacy, especially in underserved regions.

The partnership also shows Pakistan’s growing interest in exploring blockchain’s potential beyond cryptocurrencies. Officials are reportedly looking at how the technology can improve public transparency, reduce corruption, and enhance government services. While the letter of intent does not yet signify a formal policy shift from Pakistan, it marks an important step in international engagement on the topic.

El Salvador, meanwhile, sees the agreement as a way to promote Bitcoin adoption globally and demonstrate the success of its national Bitcoin strategy. President Nayib Bukele’s government has invested heavily in Bitcoin infrastructure, including the launch of a government-backed digital wallet and plans for a Bitcoin mining hub powered by renewable energy.

Industry watchers say the partnership could encourage other developing nations to study the digital currency model more closely. As blockchain technology becomes more mainstream, international collaboration like this could shape global norms around digital asset use, regulation, and innovation.

While much of the future remains uncertain, this agreement between Pakistan and El Salvador reflects a shared belief in Bitcoin’s potential to transform finance and improve access to economic opportunities. As both countries begin working together, their cooperation could set the stage for broader Bitcoin dialogue across the Global South.