Pakistan has formally established the Pakistan Digital Assets Authority (PDAA) to regulate cryptocurrencies, blockchain services, and digital financial platforms nationwide.
The move is part of a broader plan to bring Pakistan’s fast-growing crypto space under government oversight. According to the Finance Ministry, the PDAA will work under the supervision of the federal government and will ensure transparency, licensing, and compliance for all digital asset operations.
Crypto Gets Official Recognition in Pakistan
The establishment of PDAA comes at a time when Pakistan ranks among the top countries in crypto adoption, with over 15 million active users. The country’s youth-driven interest in digital currencies led the government to finally move toward a regulated ecosystem.
Finance Minister Muhammad Aurangzeb said the move would bring legitimacy to the sector. He said at a press briefing.
This is not just about crypto—it’s about securing Pakistan’s place in the digital future.
The authority will regulate cryptocurrency exchanges, blockchain projects, tokenized platforms, and stablecoins. It will also set guidelines for digital wallets and ensure user protection.
Pakistan has banned unregistered crypto exchanges, including Binance and OctaFX, due to fraud and terror financing concerns. But now, with PDAA in place, the approach is shifting from banning to regulating.
Why PDAA Matters
The launch of PDAA is seen as a breakthrough for Pakistan’s struggling tech ecosystem. Local fintech startups had long demanded legal clarity.
TechAssociation Pakistan, in a recent statement,
PDAA can finally help Pakistan tap into blockchain innovation without fearing a legal vacuum.
According to Arab News, Pakistan is also in talks with Malaysia to create a Shariah-compliant digital assets framework that could become a regional standard.
The new authority is expected to publish its first regulatory draft within 90 days. Startups, exchanges, and wallet providers can then register, apply for licenses, and operate under official scrutiny.
A Game-Changer for Youth and Investors
Pakistan’s younger population has been at the forefront of crypto trading and NFT development. The PDAA now allows legal DeFi projects and blockchain startups to thrive.
“This is the best chance for investors to return to Pakistan’s tech sector,” said Bilal Javed, a digital economist.
Regulation builds trust, and trust brings capital.
The SECP had previously recommended regulation over prohibition. The creation of PDAA now brings that vision to life.
The authority will also help Pakistan comply with FATF and global financial transparency standards, which are long-standing issues.
