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Aftab Maken
ISLAMABAD: The President of Pakistan has issued the Virtual Assets Regulatory Authority Ordinance 2025, which comes into immediate effect across the country. This ordinance introduces a comprehensive legal framework for overseeing virtual assets and their service providers in the country.
Under the ordinance, the Authority will function as a corporate body. It will have the power to file legal cases, own property, and engage in buying, selling, and signing contracts. The Authority’s head office will be located in Islamabad, but it will also have the power to set up regional offices anywhere in the country.
One of the key roles of the Authority will be to issue, suspend, or cancel licenses for virtual asset service providers. It will also create regulations to monitor and control virtual assets, ensuring that these are managed responsibly and transparently. Furthermore, the Authority is tasked with taking necessary measures to prevent money laundering and the financing of terrorism through the use of virtual assets.
The ordinance gives the Authority the right to conduct investigations, take regulatory actions, and impose fines. To manage its operations, the Authority will have a governing board, which will serve as the highest policy-making body.
The board will consist of a Chairman and two members—one from the Ministry of Finance and one from the Ministry of Law. With its approval, the board can also include more members as advisors. The Chairman and non-government board members will serve a term of three years.
The ordinance clearly states that no person or entity will be allowed to offer virtual asset services without obtaining a proper license. Any individual or company found operating without a license will be committing a criminal offense and could face penalties.
Anyone wishing to obtain a license must apply to the Authority and pay a prescribed fee. The Authority will review the applicant’s financial and managerial capabilities and also verify that they do not have a criminal background.
If any service provider violates the regulations or fails to maintain financial stability, the Authority has the power to cancel their license. Additionally, it can inspect operations, request relevant records, and summon involved parties as part of its enforcement process.
In case of violations, the Authority can also order the suspension of services or revoke licenses. This makes the ordinance a powerful tool for bringing transparency and control to the growing virtual asset sector in Pakistan.
By creating a structured and enforceable framework, the ordinance aims to provide legal clarity and strengthen oversight in the digital financial landscape—ensuring that virtual assets are regulated in a way that promotes financial integrity and public trust.
