Pakistan Cancels 8-Year Crypto Banking Ban

Pakistan is starting to build a legal digital asset market. Under State Bank of Pakistan BPRD Circular No. 10, financial organizations can finally serve crypto services.

This decision ends the harsh restrictions that governed the country's banking system since 2018.

The 2026 Virtual Assets Act paved the way for this transition. Regulators now allow banks to open and maintain accounts for service providers that hold a PVARA license.

"Both companies and individual clients now have the right to banking services. However, financial institutions must follow strict Anti-Money Laundering and Counter-Terrorism Financing (AML/CFT) requirements," the statement says.

Authorities expect these transparent rules to attract foreign investment and build trust in the ecosystem. They noted that the sector stayed in a "gray zone" for too long, which stunted industry growth. Now, Pakistan is moving toward a complete digital market by coordinating regulators and industry players.

CZ as a Crypto Advisor

Former Binance CEO Changpeng Zhao (CZ) likely plays a role in this legalization process. In April 2025, CZ took an advisory position at the Pakistan Crypto Council. Zhao advises the government on building infrastructure and implementing blockchain solutions. CZ noted that he considers it a great honor to help the state adopt new technologies.

Beyond financial matters, Zhao promotes his non-profit Giggle Academy in the region. The project focuses on providing free online education to vulnerable populations.

Currently, about 20 million children in Pakistan lack access to basic education. The Binance founder believes the country can successfully integrate this system into its developing digital infrastructure.

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