Pakistan is taking a proactive approach to cryptocurrency regulation with the creation of the Pakistan Digital Asset Authority (PDAA). As announced by the Ministry of Finance, this new body will oversee exchanges, custodians, stablecoins, and DeFi applications, aiming to establish a regulatory framework aligned with international standards like those set by FATF. Finance Minister Muhammad Aurangzeb highlighted the PDAA’s mission to formalize Pakistan’s large $25 billion informal crypto market. The authority will also explore innovative uses of blockchain technology, including tokenizing national assets and digitizing government debt. These initiatives are expected to create new financial channels through the use of tokenization and Web3 technologies. Pakistan joins a growing list of countries like the UAE and Singapore that have established dedicated digital asset regulatory bodies.