Pakistan has officially launched the Pakistan Virtual Assets Regulatory Authority (PVARA), a landmark move to oversee the country’s rapidly expanding digital assets industry. This initiative reflects a significant policy shift from previous crypto restrictions and aligns with Pakistan’s broader digital transformation goals.
With over 40 million users involved in the digital asset space and an estimated $300 billion in annual trading, Pakistan’s decision comes at a crucial time. The newly established authority is tasked with licensing and supervising Virtual Asset Service Providers (VASPs), ensuring compliance with international financial standards.
Strategic Regulation of Virtual Assets
PVARA will remain an independent body and match its operations to the guidelines of the Financial Action Task force (FATF). The regulator shall license, supervise VASPs and promulgate the anti-money laundering measures. The creation is after the ratification of a national policy of digital assets by the government earlier this year.
Pakistan launches PVARA to regulate digital assets
Pakistan’s federal government has officially launched the Pakistan Virtual Assets Regulatory Authority (PVARA), an independent body to oversee the country’s digital asset industry. According to @Cointelegraph, the new authority…
— CoinNess Global (@CoinnessGL) July 8, 2025
The Pakistan Crypto Council (PCC), headed by the Finance Minister Muhammad Aurangzeb, is an order that backs the PVARA. The council has international and influential members like former CEO of Binance, Changpeng Zhao and Michael Saylor of the MicroStrategy, who are giving strategic leadership.
This policy change is one of the efforts in the state to introduce tokenization and blockchain to the national economy. Pakistan, too, has launched a national Bitcoin reserve plan in April, which will become an indicator of even more institutional penetration into the virtual space.
Crypto Integration and Economic Vision
The regulatory system is meant to develop investor confidence and to attract foreign capital. It also aims at formalizing the formerly informal trading behavior that so far was conducted devoid of regulation. The crypto boom in Pakistan is built around youth and is an indicator that the country needs a safe, inclusive digital economy.
The population is more than 70% below the age of 30, and a large part is engaged in crypto trading. The formation of PVARA is aimed to secure such users and offer a vivid format of involvement.
It will also ensure that the country is in tandem with international bodies, such as IMF and the World Bank, which will enhance long stability in the economy. It will have oversight over security, AML measures and operational standards of crypto entities.
Virtual Assets and Energy Strategy Alignment
Pakistan is also integrating its energy policy with its digital ambitions. The government has allocated 2,000 megawatts of surplus energy to support Bitcoin mining and AI data operations. This move supports blockchain growth while utilizing untapped energy resources.
In addition, Bilal Bin Saqib has been appointed as Special Assistant for Blockchain and Crypto, holding ministerial rank. His role is to drive sector development and build global partnerships in blockchain innovation.
The international financial institutions are still pressuring the government on the issue of energy subsidy. Nevertheless, authorities are determined to develop the virtual assets framework further in the scope of the long-term digital plan of the state.
By making this radical move in regulation, Pakistan is currently trying to establish itself as one of the leaders in the digital economy of South Asia.
