Pakistan is working on a legal framework for cryptocurrencies to attract international investors and strengthen its position in blockchain finance. Bilal Bin Saqib, CEO of the Pakistan Crypto Council, shared this plan in an interview with Bloomberg on March 20.
Saqib emphasized that Pakistan no longer wants to remain inactive in crypto space. Instead, the country aims to introduce clear regulations that support businesses. He stated, “We want Pakistan to lead in blockchain-powered finance and attract international investment.”
With around 60% of its population under 30, Pakistan has a workforce familiar with Web3 technologies. Saqib believes this gives the country an advantage in developing blockchain-based financial solutions.
Pakistan Ranks Among Top Crypto Adopters with Millions of Active Users
Earlier this month, Saqib was appointed as chief adviser to Pakistan’s finance minister for cryptocurrency management. He was also named CEO of the Pakistan Crypto Council on March 14.
Pakistan has already shown crypto adoption. A report from blockchain analytics firm Chainalysis ranked the country ninth in global crypto adoption last year. Saqib estimates that up to 20 million Pakistanis use cryptocurrencies.
Pakistan’s cryptocurrency market revenue is projected to reach $1.6 billion by the end of 2025, with 27.1 million expected crypto users. The rise in digital asset adoption is fueled by a young, tech-savvy population seeking alternative investment opportunities.
He also pointed to the impact of U.S. policies on crypto, calling former President Donald Trump “the biggest bullish catalyst for crypto in history.” Trump has supported the idea of a national Bitcoin reserve using digital assets seized by the government.
Saqib believes that Trump’s stance will push other countries, including Pakistan, to prioritize crypto adoption. He warned that countries that fail to act may fall behind in the global financial system.
Saqib also highlighted how developing countries like Pakistan and Nigeria could benefit from blockchain technology. He explained that using blockchain for remittances and trade could reduce dependence on traditional banking and lower transaction fees, which range from 5% to 9%. This would help create a smoother and more affordable cross-border payment system.
Pakistan Considers Cryptocurrency Taxation to Generate Government Revenue
The Pakistani government is considering a taxation framework for cryptocurrency transactions to generate revenue. The International Monetary Fund (IMF) has recommended that Pakistan’s Federal Board of Revenue (FBR) impose capital gains tax (CGT) on cryptocurrency investments as part of its financial restructuring efforts.
The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has proposed specific tax measures. One of the key proposals includes a 15% tax on profits earned from crypto trading. Additionally, the government proposes a 5% tax on cryptocurrency funds converted into cash and deposited into foreign exchange accounts. It also plans to apply a 10% tax on crypto funds that overseas Pakistanis transfer into Roshan Digital Accounts, which serve non-resident Pakistanis.
Experts estimate that implementing these tax measures could generate around $90 million annually (approximately 20 billion Pakistani Rupees).
