Pakistan Opens Market for Crypto Firms
- Pakistan invites international crypto firms to apply for licenses.
- New regulatory authority created under the Virtual Assets Ordinance 2025.
- Formalizes crypto market with oversight by financial regulators.
Pakistan’s government has invited global crypto firms to apply for licenses under its newly established regulatory body, PVARA, via announcements made in July 2025 focusing on compliance and transparency.
This move marks a significant regulatory shift, aligning Pakistan’s crypto market with global standards and potentially boosting market confidence and participation.
Pakistan has opened its doors to international crypto firms, inviting them to apply for licenses under the new PVARA framework. This initiative stems from the Virtual Assets Ordinance 2025, ensuring regulated and transparent crypto operations.
The Pakistani Ministry of Finance issued a statement encouraging global entities to engage, signaling a supportive stance towards digital assets. The regulatory framework requires applicants to hold licenses from recognized bodies like the SEC and FCA.
“The virtual asset market already has more than 40 million users with annual trading volumes estimated to be about $300 billion, making it one of the biggest untapped markets in the world.” – Pakistan Ministry of Finance
The move could boost Pakistan’s economy with increased crypto trading activities. The government has provided significant infrastructure support, including the allocation of 2,000 megawatts for crypto mining and AI centers, emphasizing its commitment to the sector.
Financially, annual crypto trading volume in Pakistan exceeds $300 billion. This makes it one of the most attractive markets for international players, considering the existing user base of over 40 million within the country.
PVARA aims to align with international standards set by organizations like FATF and the IMF. Compliance is key for firms aiming to tap into Pakistan’s digital asset ecosystem. The emphasis is on transparency and adherence to strict regulations.
Analysts anticipate a surge in on-chain transaction volumes once exchanges operationalize under PVARA’s regulation, mirroring prior successes in other markets like UAE and Singapore. This regulatory move may also stimulate Sharia-compliant fintech innovation.
