Pakistan Launches Digital Assets Authority to Regulate $25 Billion Crypto Market

Pakistan has taken a significant step into the realm of digital finance with the launch of the Pakistan Digital Assets Authority (PDAA). This new regulatory body is tasked with overseeing and managing the country's digital asset market, which is estimated to be worth around $25 billion. The PDAA will regulate a wide range of digital assets, including Bitcoin, stablecoins, tokenized assets, wallets, and decentralized finance (DeFi) applications.

The PDAA's responsibilities are extensive. It will oversee the $25 billion crypto market, promote Bitcoin mining using excess energy, facilitate the tokenization of government-owned assets and public debt, provide legal avenues for both domestic and foreign investors, and support the growth of Web3 startups and digital exports. The authority aims to create a secure and investor-friendly environment, making Pakistan more attractive to global blockchain firms and encouraging foreign investment.

Pakistan's move into the digital asset space is further bolstered by recent international partnerships. The country has signed a deal with World Liberty Financial (WLF), a crypto company linked to the Trump family, and brought on Binance founder CZ as an adviser through the Pakistan Crypto Council. These collaborations signal Pakistan's ambition to become a major player in the global crypto market.

By operating under FATF-compliant rules, Pakistan is positioning itself as a trustworthy and innovative hub for blockchain technology in South Asia. This regulatory framework aligns Pakistan with other forward-thinking countries like Singapore, Japan, and the UAE, which have already embraced blockchain innovation. Experts view this development as a potential turning point for Pakistan's financial future, with the potential to reshape the country's financial landscape and attract significant global interest.