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Pakistan: crypto & digital assets regulation

Regulated

Pakistan VASP licensing under PVARA; SBP banking integration

Lead regulator:
Pakistan Virtual Asset Regulatory Authority (PVARA)
Key law:
Pakistan Virtual Asset Regulatory Authority Act (2025)
Last updated:
2026-07-12

Pakistan has established a formal regulatory framework for virtual assets, designating the Pakistan Virtual Asset Regulatory Authority (PVARA) as the primary supervisor for Virtual Asset Service Providers (VASPs). This structure moves the sector from a previously restricted or ambiguous status to a licensed regime.

The State Bank of Pakistan (SBP) plays a critical supporting role by authorizing regulated banking entities to open dedicated PKR-denominated transactional accounts for PVARA-licensed VASPs and their customers. This integration aims to facilitate compliant fiat on-ramps and off-ramps while ensuring banks verify PVARA licenses or no-objection certificates.

The regulatory direction emphasizes formal licensing and no-objection certificates as prerequisites for banking services, signaling a shift towards controlled integration of digital assets into the formal financial system.

Who regulates

  • Pakistan Virtual Asset Regulatory Authority (PVARA)

    Primary regulator for VASPs, issuing licenses and no-objection certificates

    [1]

  • State Bank of Pakistan (SBP)

    Banking supervisor; authorizes banks to provide services to licensed VASPs

    [1]

Core laws & rules

  • Pakistan Virtual Asset Regulatory Authority Act (2025)

    Establishes the PVARA and the legal framework for regulating virtual assets and VASPs in Pakistan.

    [1]

Licensing & registration

  • VASP License / No-Objection Certificate

    Entities must hold a PVARA license or no-objection certificate to access dedicated banking accounts.

    [1]

Restrictions & warnings

  • Banks are required to verify PVARA licenses or no-objection certificates before opening dedicated PKR-denominated transactional accounts for VASPs.

    [1]

Direction of travel

  • The regulatory trajectory indicates a move towards formalizing the sector through dedicated licensing and integrating VASPs with the traditional banking system via SBP-authorized channels.

    [1]

Sources

  1. Authorizing Bank Accounts for PVARA-Licensed VASPs and Their Customers · 2026-04-14

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This guide is compiled automatically from 1 primary-source documents published by Pakistan's regulators, reviewed by RegAlert, and refreshed monthly (last updated 2026-07-12). It is not legal advice — always confirm requirements with the regulator or local counsel before acting.