Public-private collaboration is shaping Pakistan’s crypto economy

The following is a guest post and opinion from Vince Kadar, CEO of Polymath.

The global crypto landscape is evolving rapidly, and Pakistan is no exception. US President Donald Trump’s pro-crypto policies have influenced the Pakistani government’s stance, transforming it from a crypto-averse nation into one that is actively working to build a crypto-friendly economy. Leading this shift is the Pakistan Crypto Council (PCC), which is playing a crucial role in formulating a comprehensive regulatory framework—a move reminiscent of similar efforts in the United States.

However, for Pakistan to establish itself as a true crypto hub and attract foreign direct investment (FDI), government efforts alone are not enough. Public-private collaboration is essential to educating policymakers, shaping legal frameworks, and ensuring the sustainable growth of Pakistan’s digital financial ecosystem.

Pakistan Crypto Council Follows the American Model

A look at recent global political events reveals the ideological foundation of the Pakistan Crypto Council and its policy direction.

In May 2023, Aisha Ghaus Pasha, a former Pakistani Minister of State for Finance and Revenue, said crypto would never be legal in Pakistan. The move came after the Financial Action Task Force (FATF) removed Pakistan from its gray list and set strict anti-money laundering restrictions.

A year later, on November 4, 2024, the Pakistani government changed its anti-crypto stance and considered regulating cryptocurrencies as legal tender. It’s not a coincidence that the US elections were held on the same day.

After Donald Trump won, he signed an executive order in January 2025 to form a Working Group on Digital Assets. The Group was an executive advisory council responsible for exploring a comprehensive digital asset regulatory framework.

Soon after, the Finance Ministry of Pakistan announced it was considering forming a “National Crypto Council” to legalize crypto. Interestingly, the announcement came after Pakistani Finance Minister Muhammad Aurangzeb met a foreign delegation, including Trump’s advisers, to discuss digital asset regulations.

The Pakistan Crypto Council was formed in March 2024, with the Finance Minister as Chairman and Bilal bin Saqib as CEO.

Acknowledging the US President’s role, Saqib said that Donald Trump is

“the biggest bullish catalyst for crypto in history.” He further noted, “Trump is making crypto a national priority, and every country, including Pakistan, will have to follow suit or will be at the risk of being left behind.”

In America, Trump doesn’t want the crypto industry restricted by federal agencies’ red tape and bureaucratic quagmire. Thus, he has ensured that private company executives, CEOs, and founders are onboarded to lead crypto innovation in his country.

Trump has appointed ex-Paypal COO David Sacks as the “White House A.I. & Crypto Czar” to “guide policy for the Administration.” He also hosted the first White House Crypto Summit, bringing private industry leaders together to discuss crypto legislation.

Following in Trump’s footsteps, the Pakistan Crypto Council has also adopted a public-private collaborative approach towards the crypto economy. Such joint partnerships between the government and industry leaders are essential for building Pakistan’s future-proof digital financial ecosystem.

Private Enterprises’ Critical Role in Policy-Making

Recognizing the strategic importance of blockchain and crypto, Pakistan’s Prime Minister Shehbaz Sharif recently convened a high-level meeting in Islamabad to discuss investments in Bitcoin mining and asset tokenization. Key government officials, the CEO of the Pakistan Crypto Council, and representatives from major crypto firms attended.

During the discussions, Sharif directed the Pakistan Crypto Council to engage with private sector leaders to build infrastructure for Bitcoin mining and tokenization. One proposed  initiative involves utilizing Pakistan’s excess energy to power Bitcoin mining operations.

The meeting also covered plans for a $3.5 billion Bitcoin mining infrastructure and leveraging blockchain technology to strengthen Pakistan’s economic resilience. Additionally, the focus was on creating compliant asset tokenization products and establishing a robust regulatory framework for digital assets.

This shift in governance—mirroring American strategies for crypto industry collaboration—highlights the critical role of private enterprises in shaping policy. Industry experts possess deep insights into market needs, making their input invaluable in crafting effective regulations.

According to a 2024 Chainalysis report, Pakistan ranked ninth in global crypto adoption. Citing this data, the Pakistan Crypto Council’s CEO said,

“With Pakistan ranking in the top 10 for global crypto adoption and an estimated 25M+ active users, alongside a $30B+ foreign remittance market, blockchain presents an unparalleled opportunity for innovation and growth. This is just the beginning; Pakistan is open for business.”

It is clear that for Pakistan to develop its crypto ecosystem securely and sustainably, the government cannot act alone. Just as the US integrates industry leaders into regulatory discussions, Pakistan must foster collaboration between government representatives, regulatory authorities, and crypto experts.

By aligning with Trump’s playbook, the Pakistan Crypto Council has already made a bold statement: “Pakistan is done sitting on the sidelines!” As a high-potential, cost-effective market with a young and tech-savvy workforce, Pakistan must harness the expertise of private enterprises to drive job creation and regulatory advancements.

With Pakistan accelerating its policy shift to strengthen the blockchain industry, a robust public-private partnership is the key to establishing the country as a leading crypto innovation hub in South Asia.

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