In a landmark policy shift, the State Bank of Pakistan (SBP) has officially revoked its long-standing ban on virtual currencies, ushering in a regulated era for cryptocurrencies and digital assets within the national financial landscape.
By withdrawing the restrictive BPD Circular No. 3 of April 2018 and replacing it with the newly issued BPD Circular No. 10 of 2026, the central bank has signalled a decisive move toward the formal acceptance and integration of digital assets into the economy.
Under this new regulatory framework, banks and financial institutions are now authorised to provide banking services and open accounts for Virtual Asset Service Providers (VASPs). To maintain strict financial oversight and security, this permission is exclusively granted to providers licensed by the Pakistan Virtual Asset Regulatory Authority. This strategic transition aims to foster innovation while ensuring comprehensive compliance and stability within the country’s evolving crypto ecosystem.
