On Thursday, both the federal government and the central bank made it clear that cryptocurrencies are illegal in Pakistan. They warned that anyone involved with these digital currencies could face scrutiny from the Financial Monitoring Unit (FMU) and the Federal Investigation Agency (FIA).
Cryptocurrencies were the focus of remarks made by Federal Finance Secretary Imdad Ullah Bosal and State Bank of Pakistan (SBP) Executive Director Sohail Jawad during a session of the National Assembly Standing Committee on Finance.
Interestingly, this announcement followed a day after Bilal Bin Saqib, the newly appointed Special Assistant to the Prime Minister on crypto and blockchain, advocated for the promotion of cryptocurrencies during his trip to the United States.
“Crypto is not recognized as legal currency in Pakistan,” Bosal stated. He suggested that the committee should invite the Pakistan Crypto Council (PCC) for a more detailed discussion. It’s worth noting that SAPM Bilal Bin Saqib also serves as the CEO of the PCC.
The discussion around cryptocurrencies is still in its infancy, and whenever the government decides to move forward, Bosal emphasized the need for a solid legal and regulatory framework first, noting that such a framework is currently nonexistent.
During the committee meeting, Sharmila Faruqi, a member of the Pakistan Peoples Party (PPP), pointed out the conflicting policy statements from the government regarding the promotion of cryptocurrencies in Pakistan.
“Despite Pakistan recently being removed from the Financial Action Task Force [FATF] grey list, there appears to be no legal framework for cryptocurrencies,” she remarked.
In response, Jawad expressed hope that the PCC would engage with various stakeholders to establish a strong legal and regulatory framework.
While the finance secretary informed the National Assembly committee that cryptocurrencies are illegal in Pakistan, his ministry has been promoting these new currencies through a different set of announcements, with at least two being released this week.
The executive director of the SBP pointed out that there’s only one country in the world that has recognized cryptocurrency as legal tender, and even that country has decided to backtrack on that decision. He mentioned that there are various types of digital currencies out there, such as bitcoins, stablecoins, other altcoins, and non-fungible tokens, each of which will need its own set of regulations.
Even if cryptocurrencies are banned as legal tender, they’re still being used for international money transfers, including purchasing used cars from Japan, said MNA Usama Mela from the Pakistan Tehreek-e-Insaf (PTI). He also noted that there’s a perception that the government might start mining coins using the 2000 megawatts of electricity that was recently allocated.
The committee also asked about the legal authority of the council, to which the finance secretary responded that, for now, the council is operating under the prime minister’s executive orders, but the government is looking to establish a law to provide it with legal backing.
Mirza Ikhtiar Baig from the PPP commented that the way the government promotes cryptocurrencies in the media has led many people to invest heavily, which has also contributed to rising prices.
In a press release, the Finance Ministry shared that Bilal Bin Saqib addressed a distinguished audience, including US Vice President JD Vance, Eric Trump, and Donald Trump Jr., at Bitcoin Vegas 2025. During his keynote speech, he introduced the country’s first government-led Strategic Bitcoin Reserve, presenting a bold new vision for Pakistan on the global stage.
“Pakistan is no longer defined by its past. It is being reborn as a forward-looking hub of digital innovation—driven by its youth, shaped by necessity, and led by a new generation of tech leaders,” Bilal declared.
“I’m not just here as a minister,” he added, “I’m here as the voice of a generation—a generation that is online, on-chain, and unstoppable.”
Bilal shared some exciting news about launching a national Bitcoin wallet that will securely hold digital assets already in the state’s possession. This isn’t about selling or speculating; it’s more about establishing a sovereign reserve that reflects a strong, long-term faith in decentralized finance. He also took a moment to express his gratitude to President Donald Trump for his efforts as a peacemaker during the recent India-Pakistan conflict and for his dedication to promoting cryptocurrency adoption.
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Q1. Are cryptocurrencies legal in Pakistan?
No, according to the Federal Finance Secretary Imdad Ullah Bosal and SBP Executive Director Sohail Jawad, cryptocurrencies are not recognized as legal tender and are currently illegal in Pakistan. Individuals dealing in crypto may face scrutiny from agencies like the Financial Monitoring Unit (FMU) and the Federal Investigation Agency (FIA).
Q2. Why did the government make this announcement now?
The announcement came during a session of the National Assembly Standing Committee on Finance, likely in response to recent pro-crypto statements made by Bilal Bin Saqib, the newly appointed Special Assistant to the Prime Minister on crypto and blockchain, during his trip to the United States.
Q3. Is there any official crypto policy or legal framework in Pakistan?
No. Finance Secretary Bosal stated that Pakistan currently lacks a legal and regulatory framework for cryptocurrencies. Discussions are still in the early stages, and no formal laws have been passed.
Q4. What is the Pakistan Crypto Council (PCC)?
The Pakistan Crypto Council is a newly emerging advisory body, led by Bilal Bin Saqib, that seeks to shape crypto policy. It currently operates under the Prime Minister’s executive orders, but there are plans to give it legal status through legislation.
Q5. Why is there mixed messaging from the government?
While the finance ministry declared crypto illegal, other parts of the government, including the SAPM on crypto, have promoted it publicly. This contradiction was highlighted by PPP MNA Sharmila Faruqi and remains a source of public and political confusion.
Q6. Is the government planning to launch a national Bitcoin reserve?
Yes. During the Bitcoin Vegas 2025 event, Bilal Bin Saqib introduced Pakistan’s first Strategic Bitcoin Reserve—a government-led initiative aiming to position Pakistan as a future digital innovation hub.
