Pakistan now has a dedicated regulator and licensing regime for virtual assets. Here is how the framework came together in 2026.

How it came together

  • March 2026Parliament passes the Virtual Assets Act, 2026, making the Pakistan Virtual Assets Regulatory Authority (PVARA) a permanent statutory body.
  • 14 April 2026State Bank Circular No. 10 of 2026 lets regulated entities open accounts for licensed virtual asset service providers, including segregated client money accounts. It replaces a prohibition in place since 2018.
  • 11 June to 2 July 2026Public consultation on the draft regulations.
  • 21 August 2026PVARA notifies its licensing regulations and opens its licensing portal.
  • 5 September 2026Deadline for existing operators to apply for a No-Objection Certificate, or stop operating.

Ten licence categories

  • Exchange
  • Custody
  • Broker-dealer
  • Advisory
  • Lending and borrowing
  • Derivatives
  • Asset management
  • Transfer and settlement
  • Issuance
  • Mining-related services

Each category has its own rules on conduct, prudential requirements, technology and anti-money laundering.

Protections for customers

  • Licensed providers must keep customer holdings separate from their own funds.
  • They cannot lend or pledge customer holdings without written consent.
  • Customer holdings must be protected if the platform fails.

Two routes in

Firms that plan to incorporate in Pakistan can start in a sandbox or obtain a No-Objection Certificate first, then apply for a full licence once incorporated.

Banks can now bank licensed providers, for the first time since 2018.