The Senate of Pakistan is poised to deliberate on the “Virtual Assets Bill 2025,” a private member’s bill introduced by Senator Dr. Afnan Ullah Khan. The bill seeks to legalize and regulate cryptocurrencies in the country while proposing the launch of a Digital Rupee backed by the Pakistani Rupee (PKR) under the supervision of the State Bank of Pakistan (SBP).
The bill aims to establish a comprehensive framework for the issuance, use, trading, and management of virtual assets in Pakistan. It also proposes the creation of virtual asset zones to ensure financial stability, safeguard investors, and prevent illegal activities. Additionally, the bill provides legal recognition for the Digital Rupee as authorized legal tender.
This move aligns with the SBP’s earlier initiative in November 2024 to introduce a framework for recognizing digital assets, including cryptocurrencies, as legal currency. The SBP also proposed the issuance of a central bank digital currency (CBDC), paving the way for an officially regulated digital financial ecosystem in Pakistan.
Key provisions of the proposed amendments to the SBP Act include granting legal tender status to digital currencies like Bitcoin, allowing their use for payments of goods, services, and debts. The amendments also empower the SBP to regulate both physical and digital currencies, with penalties for unauthorized digital currency issuers.
If passed, this bill could mark a significant shift in Pakistan’s financial landscape, potentially opening up new opportunities in the digital economy while ensuring regulatory oversight.
