Pakistan Launches Virtual Assets Regulatory Framework, Operators Must Apply for Licenses by September 5

Islamabad (Web Desk): Pakistan has formally introduced a comprehensive regulatory framework for virtual assets aimed at supporting the country’s digital economy and providing a legal structure for virtual asset-related activities. The Pakistan Virtual Assets Regulatory Authority (PVARA) has issued licensing regulations and activated an online application portal for operators.

10 Licensing Categories Introduced Under Virtual Assets Act 2026

Under the new framework, all existing virtual asset operators are required to submit their applications for licensing by September 5, 2026.

The licensing framework covers 10 categories, including crypto and digital exchanges, broker-dealers, advisory services, crypto mining, and lending and borrowing services.

Key Features of the Regulatory Framework

• Licensing framework: Virtual asset businesses will be regulated through 10 designated licensing categories.
• Integration with banking: Licensed operators will be connected with the formal domestic banking system to promote transparency in financial transactions.
• Investment opportunities: A formal legal framework is expected to create new opportunities for both domestic and international investors.
• Investor protection: The framework aims to establish legal responsibilities for service providers and strengthen safeguards for users and investors.

Bilal Bin Saqib Highlights Regulatory Progress

State Minister and PVARA Chairman Bilal Bin Saqib said that within just six months of the approval of the Virtual Assets Act, Pakistan had established an operational regulator and a comprehensive licensing framework.

He said the primary objective of the regulatory system is to protect the assets of millions of Pakistani investors while ensuring that virtual asset service providers operate under clearly defined legal and regulatory obligations.