The Federal Investigation Agency (FIA) of Pakistan has established a specialized unit to investigate crimes involving cryptocurrencies. This unit will focus on violations related to money laundering and terrorist financing, according to Dawn.
The unit is part of the newly formed National Command and Control Center (NC3). The Pakistan Virtual Assets Regulatory Authority (PVARA) will continue to oversee the digital asset market.
Agencies Divide Responsibilities
Muhammad Athar Waheed, Director of the FIA’s Counter-Terrorism Department, explained that the new unit will address the potential use of digital assets in crimes. PVARA is responsible for licensing market participants, developing regulations, and overseeing the industry.
According to Dawn, NC3 combines units for combating money laundering and investigating virtual currency transactions. The center also includes open-source intelligence services, cyber patrolling, darknet activity investigations, and an Interpol coordination department.
Waheed urged the National Cyber Crime Investigation Agency and Pakistan’s Anti-Narcotics Force to establish similar structures. He noted that authorities are also developing rules to set deadlines for investigations.
Pakistan Develops Regulatory Framework
In April, the State Bank of Pakistan replaced a 2018 circular that prohibited financial institutions from conducting cryptocurrency transactions. Banks are now allowed to open accounts for virtual asset service providers (VASP) licensed by PVARA.
Companies with preliminary regulatory approval—a no-objection certificate (NOC)—can open limited accounts for licensing purposes. Full operations will be available only after final approval is granted.
PVARA is currently accepting applications for NOCs. The full VASP licensing regime is still being prepared.
Meanwhile, authorities are discussing the status of digital assets with religious leaders. According to Reuters, in June, the seminary Jamia Darul Uloom Karachi ruled that cryptocurrency is not considered property under Islamic law and therefore cannot be used as a means of payment.
Bilal Bin Saqib, head of PVARA, called for a distinction between speculative tokens and backed digital instruments. He categorized fully reserved stablecoins, tokenized gold, and blockchain-recorded Islamic bonds as the latter.
In September 2025, the Pakistan Virtual Assets Regulatory Authority invited leading global crypto companies to apply for participation in the country’s emerging digital economy.
