In a significant leap toward embracing the digital economy, Pakistan has unveiled the Pakistan Digital Assets Authority (PDAA), a dedicated body tasked with overseeing and regulating the country’s rapidly expanding $25 billion crypto and blockchain market. The move is being seen not just as a regulatory necessity, but as a strategic step toward positioning Pakistan as a serious contender in the global digital finance space.
The PDAA will serve as a one-stop regulatory body, consolidating oversight over various aspects of the virtual asset ecosystem. This includes everything from stablecoins and centralized exchanges to decentralized finance (DeFi), digital wallets, custodial services, tokenized assets, and even Bitcoin mining. The idea is to build a flexible but comprehensive framework that evolves with the fast-changing crypto landscape—one that both protects consumers and attracts international investment.
Aiming for Global Standards
The establishment of the PDAA underscores Pakistan’s commitment to aligning with international best practices, particularly those set by the Financial Action Task Force (FATF). The focus isn’t just on catching up with global standards—it’s about setting new ones.
Speaking on the development, Pakistan’s Finance Minister and Chairman of the Pakistan Crypto Council (PCC), Muhammad Aurangzeb, emphasized, “We must regulate not just to catch up—but to lead. With the PDAA, we’re building a future-forward framework that prioritizes safety, attracts capital, and accelerates financial innovation.”
This sentiment echoes the country’s broader vision of reimagining its financial infrastructure through blockchain technology and digital asset integration. The regulatory push comes at a critical time, with global interest in crypto continuing to surge and neighboring nations like the UAE and Singapore already reaping the benefits of early regulatory adoption.
More Than Just Crypto
What makes Pakistan’s approach unique is that the PDAA’s mandate goes far beyond digital currencies. The authority is also expected to play a pivotal role in modernizing the country’s financial sector. According to Bilal Bin Saqib, CEO of the Pakistan Crypto Council, the initiative is about more than regulating crypto—it’s about “rewriting our financial future and creating new pathways for economic growth through tokenization, Web3 innovation, and financial inclusion.”
The PDAA will also oversee efforts to tokenize national assets and government-issued debt, potentially unlocking new capital markets. Additionally, Pakistan plans to legalize and regulate Bitcoin mining, turning surplus electricity into a monetizable resource—an especially significant move for a country looking to diversify its economic base.
Support for Startups and Global Partnerships
Pakistan is also betting on its tech-savvy youth and startup ecosystem to fuel this transition. The PDAA is expected to offer regulatory clarity that will help local developers and entrepreneurs build scalable blockchain solutions without the legal uncertainties that have plagued the industry in many countries.
International collaborations are already underway. Notably, Donald Trump’s World Liberty Financial has recently partnered with the Pakistan Crypto Council to promote blockchain development, stablecoin use, and DeFi expansion in the country. This reflects growing global interest in Pakistan’s digital asset strategy.
A New Chapter in Digital Finance
The PDAA is more than just another government body—it marks a turning point in how Pakistan views and engages with the crypto world. By creating a structured, enforceable regulatory environment, the country hopes to foster trust among investors, empower innovation, and open up new channels for economic development.
As digital assets continue to transform global finance, Pakistan’s decision to proactively regulate its $25 billion crypto market could well prove to be a defining moment. Whether it can execute this vision effectively remains to be seen, but one thing is clear: Pakistan is no longer content to sit on the sidelines of the digital revolution.
