Govt to Set up Digital Asset Authority to Regulate $25B Crypto Market
- Abeera Marium Siddiqui
- May 22, 2025
- 3:50 pm
- 41
- Business
Pakistan is taking a big step forward with Pakistan crypto regulation. The government has announced the creation of the Pakistan Digital Assets Authority (PDAA). This new body will regulate the country’s digital asset space, which is estimated to be worth over $25 billion.
The Ministry of Finance confirmed that the PDAA will manage licensing, support innovation, and enforce compliance. This move aims to organize Pakistan’s growing but unregulated crypto economy.
“Pakistan must regulate not just to catch up, but to lead,” said Muhammad Aurangzeb, Finance Minister and Chairman of the Pakistan Crypto Council. “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.”
A Major Step Toward Global Standards
The PDAA will regulate crypto exchanges, wallets, custodians, stablecoins, tokenized platforms, and DeFi apps. All these sectors will now fall under one modern and flexible framework. Countries like the UAE, Singapore, Japan, and Hong Kong have already created similar authorities. Pakistan is now joining that list.
The authority will also support the tokenization of national assets and government debt. This will help open new investment options and give legal clarity to both local and foreign investors. Another key goal is to launch regulated Bitcoin mining. This will turn the country’s surplus electricity into economic value.
Strong Industry Backing
The plan for Pakistan crypto regulation has strong industry support. Changpeng Zhao, co-founder and former CEO of Binance, recently joined the Pakistan Crypto Council (PCC) as a strategic adviser. The PCC helped design the policy behind the PDAA.
“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.
In March, the government introduced its first digital asset policy. A special task force under the Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) authority created the plan. It follows global standards set by the Financial Action Task Force (FATF). This step boosts trust with investors and partners.
Rapid Growth in Pakistan's Crypto Market
Despite earlier doubts, crypto is growing fast in Pakistan. The country ranked ninth in Chainalysis’ 2024 global crypto adoption index. Many people now use crypto for trading and savings, especially on centralized platforms.
Data from Statista shows that over 27 million people in Pakistan could use digital assets by 2025. The same report predicts that the market could earn $1.6 billion in revenue that year. These numbers show the urgent need for proper Pakistan crypto regulation to support users and the wider economy.
The PDAA also plans to help young entrepreneurs and startups. By supporting blockchain-based tools, it hopes to grow new industries and jobs. At the same time, it will keep innovation safe and legal.
Recently, Finance Minister Aurangzeb met with Dutch Ambassador Henny de Vries. He shared Pakistan’s economic goals and reform plans. Both sides discussed ways to grow trade and investment. The ambassador praised Pakistan’s policies and confirmed continued Dutch support in several sectors.
