Pakistan Advances Cryptocurrency Initiatives Amid Regulatory and Financial Concerns

Pakistan has recently expanded its engagement with cryptocurrency through agreements involving firms linked to US political figures and global crypto exchanges. The Pakistan Virtual Asset Regulatory Authority (PVARA) signed an MoU with SC Financial Technologies to explore integrating a dollar-pegged stablecoin into the country's payment systems. Concurrently, Pakistan granted preliminary clearances to exchanges like Binance and HTX and is considering tokenising government assets to boost liquidity. While authorities highlight efforts to modernise finance and attract investment, experts and reports caution about regulatory gaps and financial risks amid an evolving legal framework.