Pakistan's Virtual Assets Regulatory Authority has opened its licensing portal, moving the country's crypto framework from legislation into enforcement and putting existing virtual asset service providers on a hard deadline.
Companies that provided virtual asset services on or before March 5 must submit an application for a no-objection certificate by September 5 or cease operations, according to PVARA's licensing website. Operating past the deadline without filing an application will constitute an offense, the regulator said in a press release published Saturday by the Associated Press of Pakistan.
A Two-Track Path to a Full License
The framework covers exchanges, custody, broker-dealer services, lending, derivatives, asset management, token issuance and mining-related services. PVARA is offering two routes into the market: a sandbox pathway for firms testing new products under supervision, and an NOC pathway for companies preparing to incorporate in Pakistan before seeking a full license.
Licensed providers will be required to keep customer holdings separate from their own assets, and cannot lend or pledge them without written consent. The rules also impose standards for governance, market conduct, cybersecurity, operational resilience and anti-money laundering controls.
"The licensing window is officially open, creating a clear pathway for businesses to enter Pakistan's regulated virtual asset market, with defined standards for consumer protection, governance, compliance and market integrity," PVARA said in a statement.
Two Years From Ban to Framework
The rollout completes a striking reversal for a country that two years ago threatened 20-year jail terms for crypto use. Pakistan's parliament passed the Virtual Assets Act in March, establishing PVARA as the statutory regulator, and the State Bank of Pakistan has since allowed banks to provide accounts — including segregated client-money accounts — to licensed VASPs.
The framework follows a public consultation held between June 11 and July 2. PVARA has already issued preliminary no-objection certificates to major exchanges including Binance and HTX, allowing them to establish local subsidiaries and prepare full license applications.
With a population exceeding 240 million and substantial remittance flows, Pakistan is now one of the largest markets to formally license crypto services this year — and overseas VASPs serving Pakistani users face the same September 5 choice: file, or exit.