ISLAMABAD – In a move set to transform the country’s financial landscape, the National Assembly of Pakistan has officially approved the landmark Virtual Assets Bill 2026. This bill’s main impact is to eliminate regulatory uncertainty and provide a clear path for Pakistanis to legally invest in and trade digital assets under new, defined regulations.
A Major Shift in Policy The passage of this bill follows the recent nod from the Senate Standing Committee, signalling a unified parliamentary effort to move beyond the 2018 “crypto ban” era. The new law provides a comprehensive legal framework for the trading, mining, and holding of digital assets, ensuring that crypto is legal in Pakistan in 2026 under strict state supervision.
Empowering PVARA The Pakistan Virtual Assets Regulatory Authority (PVARA) stands at the centre of this development. Lawmakers originally established PVARA under a temporary ordinance, and the new Act now gives it permanent legal status as the country’s sole “crypto watchdog.”
Under the Virtual Assets Act of Pakistan, PVARA is empowered to:
- Issue formal operating licenses to global and local crypto exchanges (including giants like Binance and HTX).
- Regulate crypto mining nationwide.
- Enforce Anti-Money Laundering (AML) and Counter-Terrorism Financing (CFT) standards in line with the FATF’s global requirements.
- Protect local investors from fraudulent “pump-and-dump” schemes.
Protecting the Pakistani Investor. For the millions of Pakistanis already holding digital assets, this news brings much-needed relief. The law distinguishes between “legal assets” and “legal tender.” While Bitcoin and Ethereum will not be used to buy groceries at local shops (as they are not legal tender), they are now recognised as legitimate investment assets, similar to stocks or gold.
Lawmakers emphasised that the Pakistan crypto regulation news is a step toward digitising the economy. By bringing an estimated $20 billion in annual unregulated trade into the tax net, the government expects a significant boost to the national treasury through a proposed 15% capital gains tax.
The Road Ahead. The bill will now be sent to the President for final assent, a move expected within the coming days. Once signed, PVARA will begin the full-scale licensing process for Virtual Asset Service Providers (VASPs).
As the Digital Economy Pakistan enters this new chapter, industry experts urge citizens to remain cautious and trade only through platforms that have secured a full license from PVARA. Unlicensed trading will now carry heavy penalties, including fines of up to Rs. 50 million and potential jail time.