Authority to license virtual asset service providers and oversee digital asset markets under a financial and legal compliance framework
Pakistan has enacted the Virtual Assets Act 2026, creating a legal framework for regulating the country’s digital financial sector and fulfilling a condition linked to the International Monetary Fund (IMF) programme.
The legislation, recently approved by parliament, formally establishes the Pakistan Virtual Assets Regulatory Authority (Pvara) as the national regulator for virtual asset markets and service providers.
Pvara had initially been created in July 2025 through a presidential ordinance, but the new law grants it permanent legal status.
Under the Act, the authority will license virtual asset service providers operating in or from Pakistan and supervise their activities. It will also regulate digital asset markets and monitor compliance with financial, security and legal standards.
The law includes provisions aimed at preventing money laundering and terrorism financing within the virtual asset ecosystem.
According to officials, the framework is intended to strengthen oversight of digital financial activities while supporting the adoption of emerging financial technologies.
Pvara has been given powers to ensure transparency and financial integrity in the virtual assets sector and to monitor compliance by licensed operators.
Regulators say the legislation also aligns Pakistan’s regulatory regime with international standards for digital asset supervision and financial compliance.
Reference Link:- https://profit.pakistantoday.com.pk/2026/03/07/virtual-assets-act-becomes-law-as-pakistan-moves-to-regulate-crypto-sector/