New economic frontier

For decades, Pakistan’s government and bureaucratic systems have been viewed as mired in red tape and resistant to innovation. The country’s administrative machinery, both within and from outside the country, is often criticised as inefficient, sticking to outdated methods while avoiding new ideas.

Pakistan has always been perceived as a slow mover in the global technological race; its administrative systems are held back by a culture of caution and complexity. However, recent developments have dramatically reshaped this perception, with Pakistan assuming an unexpected leadership role in the global digital economy.

The Pakistan Crypto Council (PCC) is at the heart of this transformation, a bold initiative that signals a new era of technological openness and economic ambition. In a very short time since its formation, the PCC has surprisingly secured strategic global partnerships, turning Pakistan into a potential crypto powerhouse within months.

The formation of the PCC in March 2025 could not have come at a better time. With its 250 million-strong population (the bulk of which is youth) and a staggering $30 billion in estimated annual crypto transactions, the country seems ripe for a digital financial revolution. The country’s youth, tech-savvy and open to modern solutions, have already embraced cryptocurrencies despite a historically hostile regulatory environment- the transaction volume originating from Pakistan is a testament to this fact. Pakistanis are recognised as the third fastest-growing crypto population in the world. It may surprise many that in Solana (one of the most popular blockchains) Foundation’s recent hackathon, Pakistan had the second highest representation in the world with 930 Pakistani blockchain developers participating- another testament to crypto technology adaptation in Pakistan.

The State Bank of Pakistan’s earlier (undeclared) bans on digital currencies had presented the nation as anti-crypto and stifling innovation. The establishment of the PCC, backed by the government and chaired by Finance Minister Muhammad Aurangzeb, marked a decisive policy pivot away from the traditional way of doing things. It signalled a commitment to utilising blockchain technology to formalise and digitise the economy, reduce financial exclusion and a willingness to compete on the global stage.

Bilal Bin Saqib was appointed PCC’s chief executive officer at the time of its formation- someone who has already proven to be the right choice in just a few months. A globally respected figure in crypto circles, Bilal bin Saqib brought credibility and an extensive network to the role. His appointment assured both domestic stakeholders and potential international partners that Pakistan was serious about its crypto ambitions.

In a stunning move that surprised crypto users worldwide, the council secured a visit to Pakistan from Changpeng Zhao (CZ), the founder of Binance, the world’s largest cryptocurrency exchange. CZ’s appointment as a strategic advisor in April 2025, just days after the establishment of the PCC, sent shockwaves through the global crypto community, uncovering Pakistan’s newfound clout. This partnership promised ‘technical expertise, regulatory insights and access to Binance’s vast ecosystem’, positioning Pakistan as a serious player in the digital asset space.

Even more headline-grabbing was the PCC’s deal with World Liberty Financial (WLF), a US-based fintech firm with 60 per cent ownership held by the Trump family. Signed on April 26, 2025, the agreement focuses on ‘blockchain integration, stablecoin adoption, and decentralised finance (DeFi) initiatives’. The involvement of high-profile figures from the Trump family has resulted in the deal being viewed as a major geopolitical milestone. Indian media outlets, quick to speculate, suggested the partnership has already yielded diplomatic dividends, with some claiming it has softened US President Donald Trump’s stance towards Pakistan, manifested in Trump’s recent mentions of the country. While such claims remain speculative, they highlight the deal’s broader implications, positioning Pakistan as a strategic partner in the American president’s crypto agenda.

This rapid shift from an anti-crypto state to a pro-innovation enthusiast has redefined Pakistan’s global image. Once viewed as a nation lagging in new technological initiatives, the country is now being viewed as a potential hub for cutting-edge financial solutions. The PCC’s ambitions extend beyond regulatory frameworks; it aims to make Islamabad the ‘crypto capital of South Asia', a goal that has rattled regional competitors, particularly India. Indian media’s alarm, fueled by fears of losing crypto market share and increasing global alienation post Operation Sindoor, reflects Pakistan’s growing influence. India’s 30 per cent crypto tax and lack of legal recognition for digital currencies contrast sharply with Pakistan’s rapidly evolving environment, which could attract traders and investors across the region.

The economic potential of Pakistan’s crypto initiative is immense. With more than 30 million active crypto users and a transaction volume rivalling major global markets, a robust regulatory framework could formalise this activity, boosting tax revenues and curbing illicit flows. Blockchain technology also offers a pathway to speed up the digitisation of Pakistan’s economy, streamlining processes and reducing bureaucratic inefficiencies.

If the PCC’s ambitions are executed, Pakistan’s less developed and remote regions will likely feel the most transformative effect. Rural areas, where access to traditional banking is limited, will benefit significantly from decentralised financial services. Cryptocurrencies and blockchain-based platforms can provide farmers, small businesses, and individuals with access to global markets and microfinance. By leveraging Pakistan’s surplus electricity for Bitcoin mining and AI data centres, the PCC aims to turn Pakistan’s energy burden into an economic asset.

Contrary to how the outside world generally views the country, Pakistan’s crypto revolution is proof of its ability to shed outdated perceptions and willingness to embrace the future. The PCC is looking to turn Pakistan into a dynamic platform for innovation. The message is clear- with global giants like Binance and WLF as partners, Pakistan is not just keeping up with technological trends- it’s setting them. It is pertinent that government stakeholders stay committed to this endeavour and that PCC’s initiatives are backed by effective policymaking. Formalising the country’s crypto economy will not only empower the people, but it also has the potential to redefine Pakistan’s place in the global order.

The writer manages one of Pakistan’s largest digital media houses.