Pakistan is set to legalize cryptocurrency trading in a bid to attract global investors and strengthen its digital economy, according to Bloomberg.
This decision follows the appointment of Bilal Bin Saqib as the chief advisor to the finance minister on digital asset management, signaling a shift in the country’s stance on crypto regulations.
Despite past regulatory uncertainties and warnings from the central bank, Pakistan—home to the world’s fifth-largest population—has witnessed a significant rise in cryptocurrency adoption.
Read more: Pakistan Officially Establishes Crypto Council to Boost Digital Finance!
In an interview with Bloomberg TV, Pakistan Crypto Council CEO Bilal Bin Saqib emphasized the government’s commitment to introducing a well-defined regulatory framework for digital assets to promote investment and technological growth.
“Pakistan is no longer staying on the sidelines,” Saqib stated. “With 60% of our population under 30 and a Web3-skilled workforce, we are ready to position ourselves as a low-cost, high-growth market for investors.”
Pakistan ranks ninth globally in crypto adoption, according to Chainalysis. Saqib estimated that 15 to 20 million Pakistanis actively trade in cryptocurrency, despite the absence of clear regulations.
Evolving Perspective on Digital Assets
Pakistan’s crypto sector has faced multiple regulatory hurdles. In 2018, the State Bank of Pakistan (SBP) prohibited financial institutions from processing cryptocurrency transactions. However, as global interest in digital assets surged, Pakistani authorities began reconsidering their stance.
The appointment of Bilal Bin Saqib marks a policy shift, with the government now aiming to introduce structured regulations rather than impose outright bans.
Industry experts believe that legalizing cryptocurrency could open doors for foreign direct investment (FDI) and generate new revenue streams for Pakistan’s economy. Countries like India and the UAE have already implemented digital asset regulations, and Pakistan is looking to follow suit to remain competitive in the region.
Global and Political Influence
The push for crypto regulation in Pakistan aligns with international political developments. In the United States, former President Donald Trump’s pro-crypto stance has influenced global markets, prompting many countries to adopt a more favorable approach toward digital assets.
“Trump is making crypto a national priority, and Pakistan, like other nations, will need to adapt,” Saqib remarked in his Bloomberg interview.
Additionally, increasing recognition of cryptocurrency in countries such as Singapore, Hong Kong, and the UAE has encouraged Pakistan to take proactive steps toward legalization.
AI and Blockchain in the Public Sector
Beyond cryptocurrency, Saqib’s advisory role extends to exploring the use of artificial intelligence (AI) in government operations. His responsibilities include:
- Enhancing administrative efficiency through AI-driven automation.
- Improving decision-making with data analytics.
- Encouraging innovation in public sector governance.
The Pakistani government views AI and blockchain as crucial tools for modernizing the economy, ensuring transparency, and advancing digital governance.
Although Pakistan has not yet announced an official timeline for implementing crypto regulations, experts predict that authorities will collaborate with key stakeholders—including the central bank, financial institutions, and the crypto community—to formulate policies.
A well-structured legal framework would not only mitigate risks associated with digital assets but also drive innovation in financial technology (fintech), Web3 applications, and decentralized finance (DeFi).
With a young, tech-savvy population and growing global interest in digital currencies, Pakistan’s decision to regulate cryptocurrency could be a game-changer for its economy. However, challenges such as anti-money laundering (AML) compliance, taxation policies, and consumer protection measures will need to be carefully addressed before finalizing the framework.
