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Pakistan’s Virtual Assets Act Came in 2026, After a 2025 Presidential Ordinance

Pakistan promulgated a Virtual Assets Ordinance in July 2025; the Virtual Assets Act followed in 2026. Here’s what changed and what the framework means.
From TheFinanceBase Team3 min to read

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The headline phrase “President Approves Pakistan’s First Ever Virtual Assets Act 2025” gets the legal stage wrong. In July 2025, President Asif Ali Zardari promulgated the Virtual Assets Ordinance, 2025, not an Act of Parliament. Pakistan Code later lists the Virtual Assets Act, 2026, promulgated on 4 March 2026. The distinction matters: the ordinance was the 2025 measure; the Act came later.

Was Pakistan’s virtual assets law passed in 2025 or 2026?

Both years mark important but different steps. The 2025 measure was a presidential ordinance. The later statute is the Virtual Assets Act, 2026, listed by Pakistan Code as Act XIII of 2026. The July 2025 ordinance should not be described as an Act passed by Parliament.

Instrument Legal form and identifier Date and status
Virtual Assets Ordinance, 2025 Presidential ordinance, Ordinance No. VII of 2025 Promulgated 8 July 2025, published in the Gazette on 9 July, and effective immediately
Virtual Assets Act, 2026 Act of Parliament, Act XIII of 2026 Pakistan Code lists its promulgation date as 4 March 2026

The Gazette gives the 2025 instrument its title as an ordinance, says it applies throughout Pakistan, and provides that it “shall come into force at once.” Its stated scope covered service providers and issuers doing business in or from Pakistan. Government of Pakistan Gazette; Pakistan Code.

Why did reports call the 2025 measure an Act?

A government statement initially referred to the July 2025 measure as an “Act,” prompting confusion. Dawn reported on 10 July that authorities clarified it was an ordinance, not an Act of Parliament. That contemporaneous usage helps explain the inaccurate headline phrase, but it does not change the instrument’s legal name or form. Dawn’s 10 July 2025 report.

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How did the 2025 ordinance lead to the 2026 Act?

The legislative record shows the transition from the ordinance to legislation. The Senate’s page for the Virtual Assets Bill, 2025 records that Ordinance No. VII of 2025 was laid first and treated as a bill passed by the Senate. Pakistan Code then lists the 2026 Act. These are successive stages, not two names for a law that was already an Act in July 2025. Senate of Pakistan legislative record; Pakistan Code.

Before the ordinance, the Ministry of Finance announced on 21 May 2025 that the government had endorsed a strategy to regulate digital assets and establish the Pakistan Digital Assets Authority. That announcement was policy background, not enactment of the Act. Press Information Department announcement.

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What does the current framework mean for virtual-asset businesses?

The Pakistan Virtual Assets Regulatory Authority (PVARA) describes itself as the independent federal regulator for virtual assets and virtual-asset service providers, established under the 2026 Act. It says the Act assigns the Authority licensing, supervisory and regulatory responsibilities. The implementing service regulations address licensing for categories stated in Schedule I of the Act and require a covered service to be provided by an incorporated company holding a valid licence. PVARA: About; PVARA: Regulations; Pakistan Virtual Asset Services Regulations, 2026.

When can a foreign service fall within the rules?

The service regulations apply to persons carrying on a covered service in or from Pakistan. Their territorial tests refer to conduct such as targeting, soliciting, marketing to or onboarding people in Pakistan, using PKR payment rails, or operating through channels directed at Pakistan. The regulations separately address mere website accessibility in a safe-harbour provision subject to specified conditions. Therefore, accessibility alone does not establish that every foreign website needs a Pakistani licence.

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What compliance obligations sit alongside licensing?

PVARA identifies anti-money-laundering and counter-terrorist-financing compliance as a major focus of the framework. The service regulations also state that they operate alongside other applicable laws, including the Anti-Money Laundering Act and foreign-exchange law. The licensing framework is not a substitute for those other requirements. PVARA: Regulations; Pakistan Virtual Asset Services Regulations, 2026.

Do a licence or token listing mean the government guarantees an asset?

No. PVARA’s FAQ says the Authority does not approve, endorse or guarantee virtual assets. It also says a listing notification is not itself approval of an asset; the exchange remains responsible for its listing decision. Regulatory oversight of a business should not be read as a government guarantee of the value, safety or performance of a particular token. PVARA FAQ.

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What is established, and what should not be inferred?

The official record establishes the names, forms and dates of the 2025 ordinance and 2026 Act, and PVARA’s published regulations provide operational licensing and territorial rules. It does not support treating the July 2025 ordinance as an Act of Parliament or assuming that every crypto service available online in Pakistan needs a licence. The sources cited here do not establish a provision-by-provision comparison of the complete 2026 Act against the ordinance, so specific claims about individual Act sections should be checked against the full statute rather than inferred from the regulations.

PVARA lists the Pakistan Virtual Asset Services Regulations and Activity Specific Regulations as notified on 21 August 2026; the service regulations take effect upon Gazette notification. PVARA: Regulations; Pakistan Virtual Asset Services Regulations, 2026; Activity Specific Regulations, 2026.

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