Pakistan Passes Virtual Assets Act 2026, Names PVARA as Crypto Regulator
On March 6, 2026 Pakistan passed the Virtual Assets Act 2026, formalizing a national framework for digital assets and appointing the Pakistan Virtual Assets Regulatory Authority (PVARA) as the country’s regulator. The law introduces compulsory licensing for exchanges, custodial services and other virtual asset service providers, and creates significant penalties for entities operating outside the new regime. The move signals a clear shift from an informal market to supervised, on‑chain activity under national oversight.
The Act is likely to accelerate institutional participation and improve consumer protections by enforcing KYC/AML standards and operational requirements, but it also raises immediate compliance pressure on unlicensed firms and informal platforms. PVARA will now be tasked with issuing rules, licensing timelines and enforcement guidance — firms with Pakistan exposure should prioritize engagement and preparations to avoid sanctions. The law aims to bring legitimacy and safer market access while tightening regulatory control over the crypto sector.