Pakistan is stepping boldly into the digital asset future by inviting international cryptocurrency firms to apply for licenses under its newly established Pakistan Virtual Asset Regulatory Authority (PVARA). This move marks a significant milestone in regulating and fostering growth for the country’s burgeoning crypto market.
PVARA’s Vision: Transparent and Inclusive Digital Finance
The Pakistan Virtual Asset Regulatory Authority (PVARA), created under the Virtual Assets Ordinance 2025, has issued a call for Expressions of Interest (EoIs) from leading global Virtual Asset Service Providers (VASPs) such as major exchanges and crypto service firms. PVARA’s chair and State Minister for Crypto and Blockchain, Bilal bin Saqib, emphasized this initiative as an invitation to world-renowned firms to partner in building a transparent and inclusive digital financial ecosystem in Pakistan.
Strict Licensing Criteria to Ensure Global Standards
To qualify for licensing, firms must already hold regulatory approvals from respected authorities like the US Securities and Exchange Commission (SEC), UK Financial Conduct Authority, or the Monetary Authority of Singapore. The application process demands detailed submissions covering company profiles, licensing history, technology standards, compliance track record, revenue, and a tailored business model for Pakistan’s market.
This strict framework aligns Pakistan’s regulatory approach with international standards set by global bodies such as the Financial Action Task Force (FATF), International Monetary Fund (IMF), and World Bank. The aim is to prevent illicit financing while unlocking innovative fintech, remittance, and tokenization sectors, including Shariah-compliant financial products.
Pakistan’s Crypto Boom and Strategic Government Support
Pakistan’s rapid crypto adoption has placed it third globally in Chainalysis’s 2025 Global Crypto Adoption Index, signaling one of the fastest-growing markets worldwide. Reflecting this momentum, Pakistan plans to establish a government-led Bitcoin Strategic Reserve and allocate 2,000 megawatts of surplus electricity specifically for Bitcoin mining and AI technology hubs.
While the International Monetary Fund (IMF) has expressed reservations about subsidizing power for crypto mining, Pakistan’s authorities remain committed to creating a supportive environment that balances energy management with digital innovation.
Pakistan’s progressive crypto licensing and regulatory framework at PVARA is laying the foundation for a regulated, globally aligned, and innovation-driven crypto economy in the country. This approach opens new horizons for international crypto firms eager to engage with Pakistan’s rapidly expanding digital asset landscape.
