A Historic First for Pakistan’s Crypto Diplomacy
ISLAMABAD / SAN SALVADOR, July 2025 — In a landmark moment for Pakistan’s emerging digital asset strategy, Minister of State for Crypto and Blockchain Bilal Bin Saqib has become the first Pakistani government official to engage in formal talks with El Salvador’s President Nayib Bukele on cryptocurrency policy. The high-level meeting took place in San Salvador and centered on Bitcoin adoption, blockchain integration, and the future of digital finance in developing economies.
The visit marks a new chapter in Pakistan’s foreign policy, blending innovation with international cooperation. It also reflects a broader global trend of integrating decentralized technologies into statecraft—a phenomenon now dubbed “Biplomacy.”
Learning from the Bitcoin Trailblazer
El Salvador made headlines in 2021 by becoming the first country in the world to adopt Bitcoin as legal tender. During the meeting, Saqib and Bukele explored how Pakistan could learn from El Salvador’s journey and apply similar principles to build its own secure and inclusive digital asset ecosystem.
Topics discussed included public sector Bitcoin adoption, sovereign digital reserves, regulatory innovation, and the role of crypto education in preparing citizens for a digital economy. Both leaders acknowledged blockchain’s potential to improve financial inclusion, particularly for the unbanked populations in emerging markets.
“El Salvador’s Bitcoin initiative has set a global precedent,” said Saqib. “Our goal is to learn from their experience and adapt their successful strategies to suit Pakistan’s unique socioeconomic landscape.”
Strategic Agreement for Long-Term Collaboration
The most significant outcome of the visit was the signing of a Letter of Intent (LoI) between the Pakistan Crypto Council, led by Saqib, and El Salvador’s Bitcoin Office. The agreement paves the way for joint crypto-focused initiatives, knowledge-sharing programs, and technical support between the two nations.
The collaboration signals Pakistan’s intent to not just observe, but to actively participate in shaping global crypto trends. It also gives Pakistani developers, regulators, and policymakers access to valuable insights from a country that has already navigated the regulatory and economic complexities of adopting digital currency on a national scale.
President Bukele welcomed the partnership, stating that El Salvador is committed to helping Pakistan explore the transformative power of Bitcoin. He described the agreement as a “gateway to financial sovereignty” for nations ready to challenge conventional financial systems.
Laying the Groundwork for Pakistan’s Crypto Future
This diplomatic breakthrough comes at a time when Pakistan is rapidly evolving its stance on digital finance. Earlier this year, the government announced the formation of the Pakistan Virtual Assets Regulatory Authority (PVARA) to establish a clear framework for crypto regulation and compliance.
In parallel, Pakistan revealed plans for a Strategic Bitcoin Reserve, aimed at diversifying national financial holdings and reducing reliance on fiat-based reserves. These moves highlight a growing recognition among policymakers that blockchain and digital assets are not just technological novelties but strategic economic tools.
Saqib’s meeting with Bukele reinforces Pakistan’s long-term vision to become a regional leader in crypto innovation, particularly by fostering partnerships that can help shape responsible, forward-looking blockchain policies.
A New Era of Bitcoin Diplomacy
Experts view this engagement as a signal of an emerging global trend where countries are using Bitcoin and blockchain technologies as instruments of foreign policy. Dubbed “Biplomacy,” this approach is reshaping how nations collaborate in an increasingly decentralized world.
For Pakistan, this partnership with El Salvador represents more than a symbolic gesture—it is a strategic pivot towards a digital-first economy. As developing countries explore new models for economic growth and resilience, crypto diplomacy may soon become a key pillar in their international relations strategy.
With the signing of this historic crypto cooperation agreement, Pakistan has taken a bold step into the future of finance—where innovation, inclusion, and international collaboration will define the next generation of global economic leadership.
