Qudsia Bano

Pakistan’s decision to establish Pakistan Digital Assets Authority marks a significant step toward modernizing its financial sector and positioning the country as a leader in blockchain innovation, reports WealthPK.

 The new regulator will oversee licensing, compliance, and development of exchanges, custodians, wallets, tokenized platforms, stablecoins, and decentralized finance applications under a unified framework. The move aligns Pakistan with trailblazers such as the UAE, Japan, Singapore, all of which have created dedicated digital-asset regulators.The Authority’s mandate is to bring the estimated twenty-five‑billion‑dollar informal crypto market into the formal economy, to enable tokenization of national assets and government debt, and to offer clear legal guidelines that will encourage both domestic and international investment.

Officials say the initiative will also facilitate the monetization of Pakistan’s surplus electricity through regulated Bitcoin mining and empower startups and the youth to develop large‑scale blockchain solutions.Experts view the creation of the new regulator as a watershed moment.

Dr Tehseen Rasheed, Director of Digital Finance Institute at Lahore University of Management Sciences, believed that the regulatory clarity provided by the Pakistan Digital Assets Authority would drive financial inclusion. She said by setting clear rules and standards, the underserved populations would gain access to secure, low‑cost digital payment systems and investment opportunities previously unavailable in remote areas.

Market observers also see a strong economic upside. Moeen Idrees, Head of Research at the renowned Digital Finance Forum, predicted that the Authority would boost investor confidence and attract foreign capital. He noted that a transparent, agile regulatory environment is critical for global fintech players considering market entry, and that Pakistan’s new framework could serve as a model for other emerging economies seeking to reconcile innovation with compliance.

Together with supportive infrastructure, workforce training programs, and industry partnerships, the Pakistan Digital Assets Authority aims not only to protect consumers and the financial system but also to catalyze a new era of economic growth driven by the digital technology. As the regulator takes shape, stakeholders across the government, academia, and the private industry will watch closely whether Pakistan can indeed turn its ambitious vision into tangible results.

Credit: INP-WealthPk