ISLAMABAD, PAKISTAN – In a decisive move to regulate the digital finance space, Pakistan has officially established the Pakistan Virtual Assets Regulatory Authority (PVARA), marking a new era for cryptocurrency governance in the country.
The ordinance, approved in July 2025, paves the way for a licensed and compliant crypto ecosystem. The new authority will oversee licensing of Virtual Asset Service Providers (VASPs), implement anti-money laundering protocols, and offer Shariah-compliant frameworks for digital assets.
This shift follows months of groundwork laid by the Pakistan Crypto Council (PCC)—an advisory body formed in March under the leadership of Finance Minister Muhammad Aurangzeb and CEO Bilal Bin Saqib. In collaboration with the State Bank of Pakistan (SBP), SECP, and other key stakeholders, PCC has driven efforts to shape a robust blockchain and crypto policy.
Earlier in May, the SBP clarified that cryptocurrencies were never officially banned, but rather unregulated, dispelling widespread confusion. The momentum has now culminated in a structured legal framework, offering clarity and legitimacy to the sector.
Additionally, SBP Governor Jameel Ahmad confirmed at the Reuters NEXT Asia summit that Pakistan is preparing to launch a central bank digital currency (CBDC) pilot, aligning with global trends in digital innovation.
The government has also hinted at strategic adoption of blockchain technology, including the allocation of 2,000MW power for Bitcoin mining and AI data centres, and the possible creation of a national Bitcoin reserve—a first for the region.
This story has been reported by PakTribune. All rights reserved.