In a major shift toward crypto regulation and innovation, Pakistan has invited leading international crypto exchanges and virtual asset service providers (VASPs) to apply for licenses under a newly launched federal framework.
The Pakistan Virtual Asset Regulatory Authority (PVARA), formed under the Virtual Assets Ordinance 2025, officially issued a call for Expressions of Interest (EoIs) on Saturday, according to local news outlet Dawn. The goal: to open Pakistan’s rapidly expanding digital asset market to globally regulated players.
“This EoI is our invitation to the world’s leading VASPs to partner in building a transparent and inclusive digital financial future for Pakistan,” said Bilal bin Saqib, Minister of State for Crypto and Blockchain and Chair of PVARA.
Eligibility will be restricted to crypto firms licensed by major regulators, including the U.S. SEC, UK’s FCA, EU VASP framework, Singapore’s MAS, and the UAE’s VARA. Applicants must present details like current licenses, service offerings (trading, custody, payments), tech and security infrastructure, revenue, compliance records, and Pakistan-specific business models.
The framework aims to combat illicit financial flows while boosting sectors like fintech, remittances, tokenization, and Shariah-compliant financial products via sandbox pilots. The initiative also aligns Pakistan’s crypto governance with standards from the Financial Action Task Force (FATF), IMF, and World Bank.
Pakistan recently ranked 3rd globally in Chainalysis’ 2025 Global Crypto Adoption Index, signaling surging local interest in digital assets. In line with this growth, Pakistan announced in May the creation of a Bitcoin Strategic Reserve, with 2,000 megawatts of surplus power allocated to mining and AI infrastructure.
Despite support from the Pakistan Crypto Council, the IMF raised concerns in July, rejecting proposals for subsidized electricity for crypto mining, citing energy and economic stability risks.
Still, the new licensing push underscores Pakistan’s pivot from gray-area crypto activity to proactive regulation, positioning it as a future regional hub for compliant digital asset innovation.