Pakistan has established the Pakistan Digital Assets Authority (PDAA) to regulate the cryptocurrency industry. Here is a detailed introduction:
Background
Previously, Pakistan was cautious about cryptocurrencies. In 2018, the State Bank of Pakistan prohibited financial institutions from providing services related to cryptocurrency exchanges or handling transactions involving digital assets. However, with the development of the global digital economy, Pakistan has seen the potential of blockchain technology. Its young and tech – savvy population also drives the demand for digital finance. Therefore, the government has shifted its attitude and decided to establish a regulatory agency to balance innovation and risk.
Establishment Process
On March 14, 2025, the Pakistani government announced the establishment of the Pakistan Crypto Council (PCC). Then, according to a report by the state – owned broadcaster PTV on May 21, 2025, the Pakistan Digital Assets Authority (PDAA) was officially launched.
Leadership Team
The PCC is chaired by Finance Minister Muhammad Aurangzeb, and its board members include the governor of the State Bank of Pakistan, the chairman of the Securities and Exchange Commission, the federal law secretary, and the federal information technology secretary. Bilal bin Saqib, the CEO of the PCC, is an expert in blockchain technology and digital innovation.
Responsibilities and Goals
Regulating the Crypto Market: The PDAA is responsible for the licensing and compliance management of market entities such as exchanges, custodians, wallets, tokenized platforms, stablecoins, and DeFi applications. It aims to build a regulatory framework that complies with FATF standards and promote the compliance of Pakistan’s $25 – billion – scale informal crypto market.
Promoting Innovation: The PDAA will explore innovative applications such as the tokenization of national assets and the digitization of government debt, and open up new financial export channels through tokenization and Web3 innovation.
Utilizing Surplus Electricity: The authority will facilitate the monetization of Pakistan’s surplus electricity by supporting regulated bitcoin mining initiatives.
International Cooperation: The PCC plans to cooperate with international crypto and blockchain organizations, study the regulatory models of countries such as the United Arab Emirates, Nigeria, and Turkey, and align Pakistan’s regulations with global standards to attract foreign investment.
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