Pakistan’s financial sector is actively exploring the potential of stablecoins backed by the Pakistani rupee, as revealed in a recent statement from Zafar Masud, Chairman of the Pakistan Banks’ Association. This proposal emerges in response to concerns about potential delays in regulating digital assets, which could prevent up to $25 billion in economic development opportunities. Faisal Mazhar, Deputy Director of the Payment Department at the State Bank of Pakistan, highlighted that a prototype for a central bank digital currency (CBDC) is currently under development with assistance from the World Bank and IMF. The pilot phase before a full-scale rollout will test this innovative solution.