When it comes to crypto licensing in Pakistan, the official stance from the State Bank of Pakistan is a flat ban on cryptocurrency use as legal tender. Also known as cryptocurrency regulations Pakistan, this policy doesn’t stop people from trading—it just forces them underground. Unlike countries that issue clear licenses or permit regulated exchanges, Pakistan’s government treats crypto like a financial risk, not a technology. That doesn’t mean crypto vanished—it just went quiet.
What’s really happening? People trade through peer-to-peer platforms, use cash dealers, and move funds via unofficial channels. There’s no legal crypto exchange in Pakistan, a platform that would be registered, audited, or supervised by any government body. Also known as Pakistan crypto exchange, these services simply don’t exist under the law. But you’ll still find traders on LocalBitcoins, Paxful, and Telegram groups swapping PKR for Bitcoin or USDT. The State Bank warns banks not to process crypto-related transactions, yet many users still find ways to deposit and withdraw through third-party payment processors or informal networks.
The lack of licensing creates a dangerous gap. Without clear rules, scams thrive. Fake exchanges, fake airdrops, and phishing sites target Pakistani users who have no legal recourse. Projects like PVC Meta, a token that crashed 99.7% with no team or tech, or Lucent crypto exchange, a platform that doesn’t even exist, are common traps. Meanwhile, legitimate users trying to hedge against inflation or send remittances are caught in the crossfire. There’s no official path to compliance, no licensing framework, and no protection if things go wrong.
Some argue crypto could help Pakistan’s economy—especially with remittances and small business payments. But until the government moves from outright ban to regulated licensing, users are left to navigate a legal gray zone alone. You won’t find a licensed crypto exchange here. You won’t find clear tax rules. You won’t find government-backed education. What you will find are people trading anyway, using tools and tactics learned from global crypto communities, often at great personal risk.
Below, you’ll find real stories and deep dives into how crypto operates in places with no legal footing—from underground markets in Myanmar to restricted trading in Russia. These aren’t just case studies. They’re mirrors. What happens in Pakistan isn’t unique. It’s part of a global pattern: when governments refuse to license, people find a way to use crypto anyway.
Pakistan's new PVARA regulator brings legal clarity to crypto. Learn who can operate, what's allowed, how licensing works, and what this means for users and businesses in 2025.