Pakistan opens doors to global crypto companies with new licensing regime
Pakistan has issued an expression of interest (EOI) aimed at international cryptocurrency exchanges to participate in the country's rapidly expanding crypto market under the new federal licensing regime.
In a statement released on Saturday, the Pakistan Virtual Asset Regulatory Authority (PVARA) invited "leading global exchanges and VASPs to express interest in operating in Pakistan," according to a report by Dawn.
"Pakistan's crypto licensing authority has opened its doors to international companies sending a clear message that our regulatory framework is ready for business," said the chairman of the PVARA and Minister of State for crypto and blockchain, Bilal bin Saqib. "This EoI is our invitation to the world's leading VASPs to work together in building a transparent and inclusive digital financial future for Pakistan."
Only international companies
The EOI is only open to companies already authorised by "selected regulators such as SEC [U.S. Securities and Exchange Commission], FCA [UK Financial Conduct Authority], the EU's VASP framework, the Virtual Assets Regulatory Authority of the United Arab Emirates and MAS [Monetary Authority of Singapore]".
Applicants will need to provide detailed information about their company, including licences, services offered (trading, custody, payments, etc.), technology and security standards, KYC/AML compliance history and a dedicated business plan for Pakistan. Total assets under management and revenues are also among the required data.
The PVARA added in the note:
"The customised licensing framework will achieve the twin objectives of supervision and innovation, promoting responsible control of the virtual assets sector and preventing its use for illicit financial activities."
The PVARA was established under the country's Virtual Assets Ordinance 2025 to "regulate and supervise" VASPs. It also has a mandate to "facilitate the development" of the crypto sector in line with the international standards of the FATF, IMF and World Bank.
Pakistan in top 3 for crypto adoption
Pakistan moved up 6 places to #3 in Chainalysis's Global Crypto Adoption Index 2025
"Even under a ban and without a regulator, Pakistan came in at #3 for crypto adoption. The goal is to create a blueprint on how digital assets should be embraced," Bilal wrote on X.
Even under a ban and without a regulator, Pakistan hit #3 in crypto adoption. The goal is to create a blueprint for how digital assets should be embraced. https://t.co/qaEpRWdmck
- Bilal bin Saqib MBE (@Bilalbinsaqib) September 4, 2025
In addition to the new crypto licensing regime, in the first quarter of this year the Pakistani government announced plans to launch a state-backed 'Strategic Bitcoin Reserve'. During the Bitcoin 2025 Conference in Las Vegas, Bilal bin Saqib stated that the strategic reserve is the result of Pakistan's 'new pro-crypto regulatory approach'.
In April, the government earmarked 2,000 megawatts of surplus electricity to be used for Bitcoin mining and artificial intelligence data centres. This plan, supported by the Ministry of Finance and the Pakistan Crypto Council, aims to attract cryptocurrency miners to the country.
In July, the International Monetary Fund (IMF) rejected Pakistan's request for subsidies for 'energy-intensive industries', including cryptocurrency miners, because of concerns about the impact on the energy sector.
