Pakistan invites global crypto exchanges to apply for operating licenses

Pakistan is moving to license and regulate global crypto exchanges as it formalizes its rapidly growing digital asset market.

The Pakistan Virtual Assets Regulatory Authority (PVARA) is set to license and oversee global cryptocurrency exchanges operating in the country. The authority has already opened applications, inviting international trading platforms and service providers to apply for approval to operate legally in the country.

Local media reports that applicants must already be regulated by recognized authorities such as the U.S. SEC, the UK’s FCA, or Singapore’s MAS. Exchanges must submit detailed applications covering technology and security standards, compliance history, financial disclosures, and a Pakistan-specific business plan.

Oversight will be coordinated by the State Bank of Pakistan, the Securities and Exchange Commission of Pakistan, and the Federal Board of Revenue, in order to ensure compliance with anti-money-laundering and counter-terrorism-financing.  Pakistan’s crypto market is among the world’s fastest growing, with over 40 million users and an estimated annual trading volume of about $300 billion, according to industry data.

The market’s rapid growth has made formal regulation necessary, and authorities expect that the new licensing framework will strengthen investor protection as well as encourage major global exchanges to operate legally in the country.

Pakistan’s broader push for crypto

Pakistan has been making a series of bold moves to establish a stronger foothold in the global crypto landscape, signaling that its ambitions go well beyond exchange licensing.

The government is planning a sovereign Bitcoin reserve, as announced earlier in May by Bilal Bin Saqib, head of the recently established Pakistan Crypto Council. To shape the effort, the nation has sought expert input from industry veterans such as Michael Saylor of Strategy. Officials say the reserve will be funded with Bitcoin already held or seized by the state, positioning the country to hold digital assets at the national level.

The country has also forged a crypto-focused partnership with El Salvador, signing a memorandum of understanding to share expertise on sovereign Bitcoin reserves, mining operations, and blockchain policy frameworks. Pakistani delegates recently met with El Salvador’s National Bitcoin Office to discuss laying the groundwork for joint research projects and technical training programs aimed at accelerating Pakistan’s own crypto infrastructure.

Another key focus for the government is mining. According to Pakistan’s energy planners, the country plans to dedicate 2,000 megawatts of electricity to Bitcoin mining farms and AI data centers to support large-scale operations. Officials say the initiative will channel underutilized capacity from hydro and solar projects into purpose-built facilities, creating new revenue streams while stabilizing the national grid.

These initiatives highlight Pakistan’s intent to integrate cryptocurrency into its digital economy and strengthen its role in the global crypto market.