BITCOIN, launched in world financial markets in 2009, changed the entire cryptocurrency scene. Having taken no interest at all in the last more than 15 years, Pakistan is now planning to introduce cryptocurrency and digital assets in the country. Is that a case of being better late than never? Well, we will have to wait and see.

In July 2025, through a presidential ordinance, the Pakistan Virtual Assets Regulatory Authority was formed to frame rules and regulations regarding crypto-currency and digital assets. During the last few months, the federal finance minister has repeatedly emphasised the importance of having technology for digital assets transactions in Pakistan. Things really seem to be moving ahead in the planned direction.

There is no doubt that transactions on a blockchain technological system are quick and safe mainly because of a de-centralised ledger that is shared among cryptocurrency users. This provides security and transparency, allowing users to verify and audit transactions indepen-dently, making it a tamper-proof record of digital asset movements.

However, there is, indeed, a great risk of money-laundering and tax evasion in this system, and Pakistan should do everything to minimise its exposure to these serious dangers.

The Financial Action Task Force (FATF) had placed Pakistan on the grey list earlier, and it was with great financial and diplomatic manoeuvres that the country’s ordeal came to an end in 2022 when it was taken off the list. The country had faced immense economic difficulties while being on the list, and we would do well to remember those troubled times.

The government must first ensure strict regulatory mechanism in place before adopting cryptocurrency. Personally, I am still struggling to understand how exactly the adoption of cryptocurrency would benefit the national economy and the common man in Pakistan. Investors may have an additional option at their disposal, but what about the man on the street?

Ejaz Ahmad Magoon
Doha, Qatar

Published in Dawn, October 29th, 2025