Pakistan, Binance to explore 'tokenisation' of up to $2bn in assets

• NOCs do not constitute full operating licence: PVARA.
• Minister says move demonstrates commitment to innovation.
• PVARA emphasises timely regulation to ensure transparency.
  

ISLAMABAD: Pakistan has inked a memorandum of understanding with Binance to explore the "tokenisation" of up to $2 billion in the country’s assets, the finance ministry said on Friday.

"The MoU establishes a framework for exploring potential collaboration on the tokenisation and blockchain-based distribution of Pakistan's real-world and sovereign assets," read a statement issued by the finance ministry.

The assets can include sovereign bonds, treasury bills, commodity reserves such as oil, gas, metals or other raw materials owned by the government. Tokenisation is the process of creating a digital version of an asset.

The ministry also said the initiative could involve assets of up to $2 billion, subject to approvals, with the aim of improving liquidity, transparency and international market access.

Finance Minister Muhammad Aurangzeb said the MoU signalled Pakistan's reform trajectory and "a long-term partnership."

Binance founder Changpeng Zhao said the agreement was "a great signal for the global blockchain industry and for Pakistan", saying it marked the beginning of a move toward full deployment of the tokenisation initiative.

Separately, the Pakistan Virtual Assets Regulatory Authority (PVARA) issued no objection certificates (NOCs) to Binance and HTX, allowing them to begin regulated engagement in the country's digital asset market.

The NOCs were granted after a formal review process in coordination with public-sector stakeholders, focus on governance, compliance, risk management, and alignment with emerging regulatory requirements, read a statement issued by the PVARA.

"The introduction of this structured NOC framework demonstrates Pakistan's commitment to responsible innovation and financial discipline," said the finance minister.

The NOCs permit the firms to register on the FMU goAML system, engage with the Securities and Exchange Commission of Pakistan (SECP) for local subsidiary incorporation, submit full VASP licence applications, and provide AML-registered services after goAML registration.

The issuance of the NOCs, however, does not constitute a full operating licence, read the communique.

PVARA Chairman Bilal Bin Saqib termed the development “the beginning of a new chapter for Pakistan’s digital asset ecosystem”.

"The issuance of these NOCs is the first step toward a fully licenced and regulated environment that places consumer protection, financial integrity, and responsible innovation at its core," he added.

With Pakistan ranked third globally in crypto adoption and an estimated 30–40 million users, annual trading linked to the country is projected above $300 billion.

PVARA emphasised timely regulation to ensure transparency, governance, and market integrity while signalling that Pakistan was open to responsible innovation under structured rules.