Pakistan’s government estimates there are currently over 20 million active digital asset users in the country, facing challenges like high transaction fees and lack of regulation
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Pakistan is making moves to legalise cryptocurrencies– a major policy shift following years of resistance– in an apparent bid to appease the Trump administration in the United States, as it signals support for digital assets.
On Tuesday (February 25), Pakistan’s finance ministry announced it is considering the creation of a National Crypto Council to regulate and oversee the adoption of digital currencies in line with global trends.
Finance Minister Muhammad Aurangzeb met with a foreign delegation, which included President Donald Trump’s advisers on digital assets, Dawn reported, citing an official statement.
A shift in stance
Pakistan’s stance on digital currencies has shifted dramatically. Until last year, both the government and the State Bank of Pakistan (SBP) opposed cryptocurrency legalisation.
A previous finance minister even declared that cryptocurrencies would never be permitted in the country.
However, Finance Minister Aurangzeb hinted towards a fresh approach on Monday (February 23), publicly calling for an “open-minded” discussion ahead of the formal talks with the foreign delegation.
“The government is committed to exploring digital assets and integrating blockchain technology to modernise the financial sector,” Aurangzeb said.
Pakistan’s government estimates there are currently over 20 million active digital asset users in the country, facing challenges like high transaction fees and lack of regulation.
Plans for a Crypto Council
The proposed National Crypto Council would serve as an advisory body comprising key government officials, regulators, and industry experts.
Its tasks would include overseeing policy development, addressing regulatory challenges, and fostering a secure and sustainable digital asset ecosystem in Pakistan.
The finance ministry said the council would also collaborate with allied nations to develop standardised frameworks for international digital economic engagement.
Regulatory roadmap ahead
Aurangzeb highlighted the importance of aligning Pakistan’s digital asset framework with international best practices and Financial Action Task Force (FATF) guidelines.
The finance minister has directed stakeholders to develop a comprehensive framework focusing on security, transparency, compliance, and economic viability, while also safeguarding against financial crimes and illicit activities.
