Pakistan Now the 8ᵗʰ‑Largest Crypto Market Globally
Pakistan has surged to become the eighth-largest cryptocurrency market in the world, with citizens holding an estimated US $20 billion to $25 billion in digital assets, despite an existing government ban on cryptocurrency trading and ownership. This impressive adoption rate places the country firmly within the global top ten.
Why Pakistan’s Crypto Usage Has Soared
Analysts attribute this growth to severe economic pressures: 38% inflation peaks in 2023, and an approximately 165% devaluation of the Pakistani rupee since 2017. These factors have driven individuals to treat crypto as a store of value and hedge against currency erosion.
At the same time, limited access to foreign currencies via traditional banking channels has pushed Pakistanis toward decentralized crypto channels as a financial survival mechanism.
Roots of Adoption: Economic Instability and Youth Demographics
Despite the Central Bank’s prohibition on crypto transactions since April 2023, many Pakistanis continue trading via peer-to-peer platforms and offshore services.
Pakistani adopters include a tech-savvy, under‑30 demographic, motivated by both necessity and opportunity. The young population is increasingly turning to blockchain as a path for income, remittances, and digital entrepreneurship.
Regulatory Transition & Institutional Moves
Pakistan is on the brink of transitioning from skepticism to regulation. In March and April 2025, the government floated plans to legalize cryptocurrency, forming the Pakistan Crypto Council (PCC) to develop regulatory frameworks and attract global investors.
The PCC, under Finance Minister Muhammad Aurangzeb and led by Bilal Bin Saqib, has attracted international attention by appointing Binance founder Changpeng “CZ” Zhao as a strategic adviser. This move further signals Pakistan’s shift toward regulated crypto innovation, balancing AML/KYC compliance with promoting fintech growth.
Challenges & Outlook Ahead
Pakistan must now reconcile its massive informal crypto economy with formal regulation. The government’s next steps include:
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Launching a Central Bank Digital Currency (CBDC) by 2025 to enhance monetary control.
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Structuring a regulatory framework for virtual asset service providers.
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Establishing regulatory sandboxes for testing blockchain and DeFi innovations in a compliant environment.
The emergence of Pakistan as a top‑10 crypto market underscores both its economic urgency and digital ambition. As it moves toward regulation, its huge pool of domestic users, strong remittance flows, and youth-driven fintech ecosystem could shape Pakistan into a pivotal South Asian crypto hub.
