In a landmark step toward embracing the future of finance, the Ministry of Finance has unveiled a comprehensive strategy to regulate digital assets and accelerate the growth of Pakistan’s virtual asset economy. The government has approved the creation of a dedicated regulatory body — the Pakistan Digital Assets Authority (PDAA) — to oversee blockchain-based financial infrastructure. The core objective of the PDAA is to ensure FATF-compliant innovation, promote economic inclusion, and support the responsible adoption of digital assets in Pakistan. “Pakistan must regulate not just to catch up but to lead. With the PDAA, we are creating a future-ready framework that protects consumers, invites global investment, and puts Pakistan at the forefront of financial innovation,” said Muhammad Aurangzeb, Federal Minister for Finance and Revenue and Chairman of the Policy Coordination Committee (PCC). Global Alignment, National Impact The PDAA will function as a specialized regulatory body with a clear mandate to oversee licensing, compliance, and innovation across the digital asset ecosystem. This includes regulation of exchanges, custodians, wallets, tokenized platforms, stablecoins, and decentralized finance (DeFi) applications — all under one agile and cohesive framework. This strategic initiative aligns Pakistan with global leaders such as the UAE, Japan, Singapore, and Hong Kong — countries that have already implemented robust digital asset regulations to foster innovation while maintaining compliance with international financial norms. The establishment of the PDAA is expected to bring multiple benefits. It will regulate Pakistan’s estimated $25 billion informal crypto market and provide legal clarity to both local and international investors. The authority will also enable the tokenization of national assets and government debt, allowing the government to explore new channels of financing. Additionally, the PDAA will facilitate the monetization of Pakistan’s surplus electricity through regulated Bitcoin mining operations. Importantly, this move will empower youth and startups to build blockchain-based solutions at scale, unlocking new opportunities in the digital economy and fostering tech-driven entrepreneurship. A Signal to the World With the proposed PDAA, Pakistan is sending a strong message to the international community: the country is ready to become a competitive player in the global digital economy. By inviting responsible innovation and building trust with investors, entrepreneurs, and international partners, Pakistan aims to redefine its financial landscape. “This is not just about crypto — it’s about rewriting our financial future, expanding access, and creating new export channels through tokenization, digital finance, and Web3 innovation,” said Bilal Bin Saqib, CEO of the Pakistan Crypto Council.