While most countries were busy figuring out how to regulate cryptocurrencies, Pakistan chose to ban them outright in 2018. The State Bank slammed the door shut on crypto transactions. End of story. Or so they thought.
Fast forward to 2025, and Pakistan’s government has done a complete 180. On March 14, they launched the Pakistan Crypto Council (PCC), headed by Finance Minister Muhammad Aurangzeb. Bilal Bin Saqib got the fancy title of “chief advisor on digital assets.” Quite the promotion.
This sudden change of heart didn’t come from nowhere. An estimated 15-20 million Pakistanis have been trading crypto anyway, ban be damned. Pakistan somehow ranked 9th globally in crypto adoption this year, according to Chainalysis. Turns out people don’t listen when you just say “no.”
Despite the ban, Pakistanis kept crypto trading going strong enough to rank 9th globally. No means nothing when opportunity calls.
The economic motivations are obvious. Pakistan wants a piece of the blockchain pie. With 60% of its population under 30, they’re sitting on a goldmine of potential Web3 talent. The PCC aims to position Pakistan at the forefront of digital finance revolution globally. Overseas Pakistanis sent home $31 billion last year, and crypto could make that process cheaper and faster. Money talks.
The government is scrambling to develop a framework that keeps them in line with international standards. They’re looking at models from the UAE, Nigeria, and Turkey. Regulatory sandboxes are in the works for crypto startups. They want to play with the big boys like Dubai and Singapore.
It won’t be easy. Unregulated outflows, weak KYC protocols, and the ever-present risk of currency instability loom large. Bureaucracy could strangle innovation before it begins. The country also needs to address the technical complexity that often comes with smart contracts and other DeFi components.
But Pakistan has ambitious plans: a Digital Rupee, Bitcoin Strategic Reserve, and dedicated Virtual Asset Zones. They’re even considering tokenizing state-owned enterprises.
Funny how a ban turns into an embrace when economic opportunity knocks. Pakistan’s crypto journey is just beginning. And it’s about time.
