The post Pakistan Woos Overseas Exchanges as Crypto Rules Take Shape appeared first on Coinpedia Fintech News
Pakistan is making its own big move. The government has launched the Pakistan Virtual Assets Regulatory Authority (PVARA) under the newly enforced Virtual Assets Ordinance 2025, inviting international crypto exchanges and service providers to apply for licenses and operate legally in the country.
With over 40 million crypto users and an estimated $300 billion in yearly trading volume, Pakistan’s crypto market is too big to ignore. Until now, however, it lacked a clear regulatory framework.
Pakistan Crypto Regulation: Why Now?
For years, Pakistan’s crypto industry has operated in a legal grey zone, raising concerns around fraud, money laundering, and investor safety. Officials say the new framework is designed to fix this.
“By creating clear rules, Pakistan signals to global investors that it is serious about digital assets,” said one senior finance official.
PVARA Licensing Requirements for Global Crypto Exchanges
The new licensing drive will be highly selective. Only exchanges already licensed by global regulators such as the US SEC, UK FCA, EU VASP, UAE VARA, or Singapore’s MAS will qualify.
Applicants must prove:
AML and CTF compliance
Strong KYC and customer protection frameworks
A business plan tailored to the Pakistan crypto market
“Only the most transparent and compliant firms will succeed,” a PVARA spokesperson noted.
Balancing Rules and Innovation With Shariah-Compliant Crypto
To ensure regulation doesn’t stifle progress, PVARA has introduced regulatory sandboxes. These allow companies to test products in controlled environments, including Shariah-compliant crypto solutions that cater to local cultural needs.
The framework follows IMF, World Bank, and FATF guidelines, boosting international trust.
Governance of Pakistan Virtual Assets Regulatory Authority
The PVARA board will include leaders from:
State Bank of Pakistan (SBP)
Securities and Exchange Commission of Pakistan (SECP)
Federal Board of Revenue (FBR)
Their priorities are consumer protection, cybersecurity, and anti-illicit finance measures.
Earlier this year, Pakistan also launched the Pakistan Crypto Council and enlisted Binance founder Changpeng Zhao (CZ) as a strategic adviser—signaling strong global alignment.
Pakistan Crypto Market Signals to Global Investors
Applications for PVARA licenses are open on a rolling basis. With low business costs, a skilled workforce, and a huge crypto user base, Pakistan aims to position itself as a regional hub for digital assets.
“Pakistan is offering both regulatory stability and massive growth potential,” said a government adviser. “For global firms, it’s a chance to enter a market that’s ready for trusted platforms. For local users, it means safer and more transparent services.”
function subscribed_popupmodal(template_id) { var templateId = ‘6’; getAllSubscriberCategoryList([templateId]); var subcribemodal = window.parent.document.getElementById(‘subscribe-modal-design’); if (subcribemodal) { var modalContent = `
Never Miss a Beat in the Crypto World!
Stay informed and gain the edge you need to navigate the crypto world. Select your subscription now
if (storeCheckedId.length === 0) { var unsubcribedPopUpmodal =
`
You’ve Unsubscribed Successfully
We’re sorry to see you go! Your subscription has been canceled. If you change your mind, you can re-subscribe anytime. Thank you for being part of our community!
Thank you for subscribing to our crypto and blockchain newsletter! You’ll now receive the latest news, insights, and updates straight to your inbox. Welcome to our community!
`;
let selectedSubscriptionsArray = selectedSubscriptionsString.split(‘,’); let subscribedCategories = selectedSubscriptionsArray.map(subscription => subscription.split(‘_’)[0]); let subscribedCategoriesString = subscribedCategories.join(‘, ‘);
subscribedmodal.innerHTML = subscribedPopupModal; if (document.getElementById(‘selectidname’)) { document.getElementById(‘selectidname’).textContent = subscribedCategoriesString; }
function closeModal(template_id) { var modalId = template_id; var modal = document.querySelector(‘#’ + modalId); // Using querySelector to find the modal
// Function to get cookies function getCookie(name) { let value = “; ” + document.cookie; let parts = value.split(“; ” + name + “=”); if (parts.length == 2) return parts.pop().split(“;”).shift(); }
// Get user token from cookies const userToken = getCookie(‘user_token’);
if (subscribewithoutData === ‘true’ && userToken) { // Call the modal function with the category ID subscribed_popupmodal(subscribe_clicked_cat_id);
// Remove the flag and category ID from localStorage localStorage.removeItem(‘subscribe_without_Login’); localStorage.removeItem(‘subscribe_clicked_id’); } });
var listItems = document.querySelectorAll(‘.subscription-options li’); if (listItems.length === 0) return;
var anyActive = false; listItems.forEach(function(item) { var checkbox = item.querySelector(‘input[type=”checkbox”]’); if (checkbox) { if (checkbox.checked) { item.classList.add(‘active’); anyActive = true; // Set anyActive to true } else { item.classList.remove(‘active’); // Remove ‘active’ class if checkbox is unchecked } } });
}
function updateButtonText(anyActive) { var subscribeButtonSpan = document.querySelector(‘.subscribe-submit .changeBtnText’); if (subscribeButtonSpan) { if (anyActive) { subscribeButtonSpan.textContent=”Subscribe Now”; } else { subscribeButtonSpan.textContent=”Unsubscribe”; } } }
function updateSubscriptionButton() { var listItems = document.querySelectorAll(‘.subscription-options li’); if (listItems.length === 0) return;
var anyActive = false; listItems.forEach(function(item) { var checkbox = item.querySelector(‘input[type=”checkbox”]’); if (checkbox) { if (checkbox.checked) { item.classList.add(‘active’); anyActive = true; // Set anyActive to true } else { item.classList.remove(‘active’); // Remove ‘active’ class if checkbox is unchecked } } });
// Update the button text based on whether any list item has the ‘active’ class updateButtonText(anyActive); } document.addEventListener(‘click’, function(event) { var clickedItem = event.target.closest(‘.subscription-options li’); if (clickedItem) { var checkbox = clickedItem.querySelector(‘input[type=”checkbox”]’); if (checkbox) { checkbox.checked = !checkbox.checked; updateSubscriptionButton(); } } });
FAQs
Is crypto legal in Pakistan in 2025?
Yes. Under the Virtual Assets Ordinance 2025, crypto trading and services are now legal in Pakistan through licensed platforms regulated by PVARA.
What is PVARA in Pakistan?
PVARA stands for Pakistan Virtual Assets Regulatory Authority, the official body regulating cryptocurrencies, exchanges, and digital asset service providers in the country.
Who can apply for a PVARA license?
Only global crypto exchanges and service providers already licensed by regulators such as the US SEC, UK FCA, EU VASP, UAE VARA, or Singapore’s MAS can apply.
Why is Pakistan regulating crypto now?
With over 40 million crypto users and $300 billion in yearly trading volume, Pakistan wants to protect investors, curb fraud, and attract foreign investment.