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Binance Global CEO Richard Teng met with Pakistan’s top financial leadership in Islamabad on Friday, December 5, marking a decisive shift in the country’s approach to digital finance. The high-level meeting, co-chaired by Finance Minister Senator Muhammad Aurangzeb and Pakistan Virtual Assets Regulatory Authority (PVARA) Chairman Bilal Bin Saqib, focused on a potential “time-bound amnesty” scheme to integrate the nation’s massive unregulated crypto market into the formal economy.
Finance Division hosted a high-level consultative meeting on Pakistan’s National Digital Asset Framework, co-chaired by Finance Minister Senator Muhammad Aurangzeb and PVARA Chairman Bilal Bin Saqib.
Top leadership from the State Bank, presidents of major Pakistani banks, and… pic.twitter.com/pKKkszutLz
— Ministry of Finance, Government of Pakistan (@Financegovpk) December 5, 2025
Adding weight to the occasion, Richard Teng led a delegation to Islamabad, joining the State Bank of Pakistan (SBP) Governor and presidents of the country’s leading commercial banks to map out Pakistan’s digital future.
Binance: The $25 Billion ‘Dead Capital’ Dilemma
The statistics revealed during the meeting were staggering. Binance disclosed that approximately 17.5 million Pakistanis are registered on their platform. These users currently hold $5 billion in virtual assets with Binance alone, contributing to an annual trading turnover of around $250 billion.
Currently, this wealth is “dead capital”. It sits entirely outside Pakistan’s banking system and tax net.
To address this, officials proposed a “time-bound amnesty” scheme. The plan is to encourage Pakistani citizens to declare their hidden crypto wealth. However, there is a critical condition. To avail the amnesty, users would likely need to move their assets onto PVARA-regulated exchanges.
The government believes this integration will treat virtual assets as part of the liquid money supply (M-1). A Binance official noted that this would unlock billions, allowing Pakistani users to invest back into the local economy in Rupees.
Binance & Banks: Bridging the Gap
Historically, Pakistani banks have blocked crypto transactions due to compliance fears. This meeting marked a significant turning point.
Binance executives assured local bank presidents that modern crypto infrastructure allows for real-time traceability. They argued that banks could confidently lend against these visible and verified assets. By integrating stablecoins and crypto assets, Pakistan could attract billions in US dollar flows, boosting the GDP.
The agenda extended far beyond simple trading. Key topics included:
- Sovereign Debt Tokenisation: Converting government bonds into digital tokens to widen investor access and enhance liquidity.
- Talent Development: Building local pipelines for Web3 skills to create high-value jobs for Pakistani youth.
- Taxation Framework: Designing a gradual capital gains structure to promote market stability.
Remittances in Seconds, Not Days
While policy is being debated, technical innovation is already moving full speed ahead.
Hassan Baig, Chairman of the Stacks Asia Foundation, revealed that his organization is on the cusp of a major breakthrough. He stated they are preparing to test Pakistan’s first cross-border payment over crypto rails with a large financial institution within three weeks.
The pilot aims to revolutionise remittances, a critical lifeline for Pakistan’s economy that generates $38 billion in annual inflows. Baig claims the technology will demonstrate that users can receive funds in less than 50 seconds at a cost below 0.5 per cent. Importantly, he clarified that local banks will maintain liquidity onshore to protect the nation’s economic integrity.
The Regulatory Path Forward
The legal foundation for these changes is already in place. Ordinance No. VII of 2025, promulgated on July 8, formally established PVARA to license and supervise the sector.
Despite earlier confusion regarding crypto ministries and various titles held by Bilal Bin Saqib, from Special Assistant to the PM to his current role as PVARA Chairman, the regulatory body is now operational. It has held its first board meeting, launched a Crypto Grievance Cell, and published AML regulations.
With the amnesty scheme under consideration and global giants like Binance at the table, Pakistan is signalling a decisive end to the era of the grey market. The focus has shifted squarely to regulation, sovereignty, and economic growth.
