Pakistan has taken a major step toward managing its growing crypto market by launching the Pakistan Digital Assets Authority (PDAA). This new authority has been approved by the Ministry of Finance and is meant to regulate the country’s informal crypto market, which is estimated to be worth around $25 billion.
The PDAA will be responsible for issuing licenses and making sure companies follow rules in the digital asset space. This includes crypto exchanges, digital wallets, blockchain platforms, and decentralized finance (DeFi) services. The goal is to create a safe and well-managed digital environment in Pakistan.
By forming this authority, Pakistan joins countries like the UAE and Singapore, which are already leaders in digital finance regulation. The government hopes that a regulated system will encourage foreign investors, protect users from fraud, and help bring more transparency to digital transactions.
Another key focus of the PDAA is to allow the tokenization of national assets, which means converting real-world assets into digital tokens. This can make it easier to trade and manage these assets.
In addition, the PDAA plans to support new blockchain ideas from the country’s youth and allow regulated Bitcoin mining. This could lead to more tech jobs and innovation in the digital sector.
Finance Minister Muhammad Aurangzeb said that this initiative is an important step in placing Pakistan on the map of the global digital economy. With proper regulation and support, the country hopes to unlock new opportunities in the world of digital finance and technology.
