Pakistan allows crypto firms Binance, HTX to set up shops

Pakistan has granted regulatory approvals to global crypto platforms Binance and HTX in its latest move toward building a structured regulatory framework for virtual asset service providers.

The Pakistan Virtual Assets Regulatory Authority (PVARA) has issued no objection certificates to the crypto platforms to set up their presence under regulatory supervision.

The certificates do not grant either company a license to operate in Pakistan, said an official statement.

The permission has been granted after the regulator assessed both companies’ governance systems, compliance structures, risk-management controls, and alignment with Pakistan’s emerging rules for virtual asset activity, said an official statement.

Under the NOC, the companies have been allowed to register with the country’s Financial Monitoring Unit and work with the Securities and Exchange Commission of Pakistan to incorporate regulated local subsidiaries.

They will also submit virtual asset service provider license applications and provide anti-money laundering services.

Pakistan ranks third worldwide in crypto adoption and is home to an estimated 30 million to 40 million users, according to industry assessments. Annual digital asset trading linked to the country is estimated to exceed $300 billion.

Over the past few months, the government has taken several steps to set up a regulatory framework for virtual assets and invited global firms to set up businesses in Pakistan.

Finance Minister Muhammad Aurangzeb said the introduction of this structured NOC framework demonstrates Pakistan’s commitment to responsible innovation and financial discipline.

PVARA Chairman Bilal Bin Saqib said the NOCs mark “the beginning of a new chapter for Pakistan’s digital asset ecosystem.”

“The issuance of these NOCs is the first step toward a fully licensed and regulated environment that places consumer protection, financial integrity and responsible innovation at its core,” he said.

He added that the framework aligns Pakistan with FATF standards and reinforces national commitments to anti-money-laundering and counter-terrorism-financing safeguards.

AI-enabled regulator

The PVARA has deployed an AI-powered application evaluation system for virtual asset companies to become the world’s first AI-enabled virtual assets regulator, according to the official statement.

The system, VASP submissions, is an in-house AI recruitment portal and an AI-assisted regulatory document review tool, officials said, adding these systems strengthen supervisory efficiency and bring Pakistan closer to global regulatory benchmarks.

Officials said PVARA aims to bring this activity into a transparent and compliant system and plans to issue additional guidance on licensing standards, compliance duties and supervisory expectations in later phases.