Trump-Backed Crypto Firm Enters Pakistan‘s Growing Market
In a move aimed at accelerating crypto adoption in Pakistan, World Liberty Financial, a crypto lending and borrowing platform with ties to former US President Donald Trump, has signed a Letter of Intent with the Pakistan Crypto Council. This strategic partnership signifies the growing global influence of blockchain technology and underscores Pakistan‘s commitment to becoming a hub for crypto innovation.
World Liberty, whose founders include Zach Witkoff, Zak Folkman, and Chase Herro, will be instrumental in assisting the Council in establishing regulatory sandboxes, exploring the potential of stablecoins for remittances and international trade, and facilitating the development of decentralized finance (DeFi) protocols within Pakistan.
The partnership was announced in a recent meeting between World Liberty representatives and the Pakistan Crypto Council’s CEO, Bilal bin Saqib. Notably, the meeting was attended by high-ranking Pakistani officials, including the country’s central bank governor, finance minister, and IT secretary, reflecting the government’s proactive approach to navigating the evolving crypto landscape.
Pakistan‘s Crypto Ambitions
The Pakistan Crypto Council, a government-backed entity, plays a crucial role in shaping the country’s crypto regulatory framework and driving adoption. Pakistan‘s commitment to the crypto space is evident, given that it was ranked ninth globally for crypto adoption in 2022, with an estimated 25 million active crypto users and a staggering $300 billion in annual crypto transactions. Pakistan is targeting its young population, with roughly 60% under 30, as a key driver for further growth in the crypto sector. The Finance Minister, Muhammad Aurangzeb, articulated this vision, stating that “Pakistan‘s youth and technology sector are our greatest assets. Through partnerships like this, we are opening new doors for investment, innovation, and global leadership in the blockchain economy.”
Balancing Innovation with Regulation
Pakistan‘s approach to crypto can be characterized as one that seeks to balance pro-crypto innovation with robust regulation. The country’s Federal Investigation Agency (FIA) recently proposed a comprehensive crypto regulatory framework aimed at addressing concerns regarding terrorism financing, money laundering, and Know Your Customer (KYC) compliance. This framework, currently under review, is expected to be implemented in a multi-phased rollout starting in 2026.
The FIA Director, Sumera Azam, emphasized the importance of striking a balance between technological advancement and national security. “This framework is part of a broader effort to strike a balance between technological advancement and national security imperatives,” Azam stated.
Pakistan‘s commitment to fostering a responsible crypto ecosystem is further highlighted by the appointment of former Binance CEO, Changpeng Zhao, as an advisor to the Pakistan Crypto Council. Zhao’s expertise in crypto regulation and innovation is expected to be valuable as Pakistan navigates the complex regulatory terrain.
The partnership between World Liberty Financial and the Pakistan Crypto Council signals a new chapter in the country’s crypto journey. It remains to be seen how this collaboration will impact the burgeoning crypto scene in Pakistan and whether it will contribute to solidifying the nation’s position as a key player in the global blockchain landscape.
