As Pakistan boldly ventures into the realm of digital finance, the country's cryptocurrency landscape is on the cusp of a major transformation. At the forefront of this change is the Pakistan Crypto Council (PCC) — a newly formed public-private body that convenes today to discuss a game-changing proposal: the establishment of a Virtual Assets Regulatory Authority (VARA). Just three months after the PCC’s formation in March 2025, this move signals Pakistan’s commitment to building a compliant, secure, and investment-friendly crypto ecosystem.
A New Era for Digital Finance: Rise of the PCC
The PCC was established to craft a comprehensive legal and regulatory framework for digital assets, including cryptocurrencies, tokenized assets, and decentralized platforms. It represents a strategic collaboration between government institutions and private sector leaders aimed at modernizing Pakistan’s financial systems.
In April 2025, the PCC released Pakistan’s first official digital assets policy, developed in coordination with the national Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) authorities. Designed to meet international standards, including those of the Financial Action Task Force (FATF), this policy lays the foundation for global legitimacy and investor confidence.
The Push for a Virtual Assets Regulator
Today’s PCC meeting is pivotal. At the top of the agenda: creating an independent Virtual Assets Regulatory Authority (VARA) — a centralized body that would oversee crypto exchanges, wallet providers, DeFi platforms, and token issuers operating in Pakistan.
The model draws inspiration from global leaders like Dubai’s VARA and Singapore’s MAS crypto division, both of which have successfully combined regulatory oversight with innovation. Pakistan aims to replicate this success by offering a balanced framework that welcomes foreign investment while ensuring market integrity.
Banks Stepping Up: UPB Bank at the Forefront
For financial institutions like UPB Bank, these developments open the door to a new era of opportunity. With a robust digital infrastructure and a reputation for innovation, UPB is ideally positioned to embrace blockchain-based banking services — including crypto custody solutions, tokenized asset offerings, real-time blockchain payments, and partnerships with regulated exchanges.
By aligning with the proposed VARA and adhering to AML/CTF compliance, UPB Bank can emerge as a key bridge between traditional banking and the emerging world of digital finance — reinforcing investor trust and accelerating the mainstream adoption of crypto in Pakistan.
Empowering the Unbanked: Crypto as a Tool for Inclusion
Beyond financial innovation, Pakistan’s evolving crypto policy has the potential to drive financial inclusion. With nearly 100 million unbanked citizens, blockchain technology and mobile-first platforms offer scalable solutions for bringing underserved populations into the formal economy.
UPB Bank, along with other local players, has an opportunity to offer secure, accessible, and affordable services to these communities — from digital wallets and remittance tools to microloans and savings products. A well-regulated crypto sector could thus become a key driver of inclusive economic growth.
Global Interest Gains Momentum
Pakistan’s regulatory shift is already catching the attention of the global crypto and fintech sectors. With interest brewing from companies in the UAE, Singapore, and the UK, the proposed virtual assets authority could serve as a green light for foreign direct investment (FDI) and strategic partnerships.
Early discussions between the Ministry of IT, PCC, and leading blockchain firms are underway. A clearly defined legal roadmap will only accelerate this momentum, positioning Pakistan as a rising digital hub in South Asia.
Conclusion: A Defining Moment for Pakistan and UPB Bank
Today’s PCC meeting could mark a historic turning point. The creation of a virtual assets regulator will not only bring regulatory clarity but also unlock vast potential for innovation, investment, and financial empowerment.
As Pakistan steps confidently into the digital age, UPB Bank stands at the vanguard — ready to lead the integration of crypto within the mainstream financial sector. With regulatory frameworks falling into place, the opportunity to redefine Pakistan’s economic future has never been greater.