Pakistan to Recognize Cryptocurrency: Establishing a Regulatory Framework

Pakistan is set to formally recognize cryptocurrency by developing a regulatory framework aimed at attracting international investment and fostering innovation in the digital finance sector.

Leadership and Vision

Bilal bin Saqib, recently appointed as the Chief Advisor to the Finance Minister for the Pakistan Crypto Council, emphasized the importance of clear regulations in a recent interview. He stated, “We need to have a legal framework that is pro-business,” highlighting Pakistan’s ambition to become a leader in blockchain-powered finance.

Cryptocurrency Adoption in Pakistan

The country has emerged as one of the top adopters of cryptocurrency globally, with an estimated 15 to 20 million Pakistanis currently holding digital assets. This widespread adoption underscores the necessity for a clear regulatory framework to facilitate investment and support the burgeoning crypto ecosystem.

Strategic Initiatives

To support crypto startups, the government plans to provide regulatory sandboxes, creating controlled environments for compliant operations. Pakistan’s low operating costs position it as a cost-effective destination for crypto businesses compared to established hubs like Dubai and Singapore. Additionally, the government intends to adopt a balanced, pro-growth tax structure to attract foreign investment.

Global Engagement

Pakistan aims to engage with countries like the UAE, Nigeria, and Turkey to learn from their regulatory frameworks, aligning with global trends in digital finance.