Pakistan signs pact with World Liberty Financial subsidiary for dollar-pegged stablecoin

• The Ministry of Finance signs an agreement with SC Financial Technologies.
• The agreement will explore the “emerging digital payments architecture”: PVARA.
• World Liberty CEO Zach Witkoff in Pakistan for talks.
  

ISLAMABAD: The federal government on Wednesday signed a memorandum of understanding (MoU) with SC Financial Technologies LLC, an associated entity of World Liberty Financial, to explore the use of World Liberty’s stablecoin for cross-border transactions.

The Pakistan Virtual Asset Regulatory Authority (PVARA) said in a statement that a memorandum of understanding with SC Financial Technologies will enable “dialogue and technical understanding around emerging digital payment architectures.”

The announcement of the memorandum was made during a visit to Pakistan by Zach Witkoff, son of US Special Envoy Steve Witkoff and co-founder and CEO of World Liberty.

Witkoff also met senior Pakistani stakeholders to discuss how countries are approaching secure, compliant and transparent digital payments infrastructure, including innovations in cross-border settlement and foreign exchange processes.

“Pakistan is rapidly positioning itself as a serious contender in the global digital financial landscape as World Liberty Financial deepens its engagement with the country to explore next-generation digital payments and cross-border finance innovations,” the Pakistan Virtual Asset Regulatory Authority said in a statement.

Industry observers see World Liberty Financial’s second engagement with Pakistan as a strong indication that the country is being actively evaluated as a potential early-stage partner jurisdiction to explore new digital payment models, including the stablecoin, USD1, at a time when stable, regulation-aware markets are increasingly sought after by global fintech players, he added.

Speaking on the occasion, Federal Minister for Finance and Revenue Muhammad Aurangzeb said, “Pakistan recognizes that the future of finance is being shaped today. Our focus is to stay ahead of the curve by partnering with trusted global players, understanding new financial models and ensuring that innovation, where explored, is aligned with national interest, stability.”

This momentum, according to the asset authority, builds on previous engagement between World Liberty Financial and Pakistan, including the signing of a letter of intent in April with the Pakistan Crypto Board, led by CEO Bilal Bin Saqib, which laid the groundwork for ecosystem-level dialogue and knowledge sharing around emerging financial technologies.

On December 12, the newly formed Virtual Asset Regulatory Authority of Pakistan issued No Objection Certificates (NOCs) to Binance and HTX, allowing both platforms to begin local integration in Pakistan.

These NOCs were issued in less than five months, faster than comparable timelines seen in other jurisdictions worldwide. As part of the engagement, Binance founder Changpeng Zhao and TRON founder Justin Sun also visited Pakistan, meeting key public and private sector players as part of a broader engagement around the country’s evolving digital asset and regulatory framework.

“Pakistan is emerging as one of the most exciting frontier markets for digital payments and financial innovation, thanks to annual remittance inflows of over $38 billion, a rapidly growing digital economy, an estimated 40 million crypto users and industry estimates of up to $300 billion in annual transactions.

With sustained international interest and a structured approach, the authority said Pakistan is increasingly seen as a market to watch in the evolution of global digital finance.