Pakistan Crypto Regulator Seeks Dialogue After Islamic Law Ruling
Pakistan's crypto regulator, PVARA, is pushing for dialogue after a Karachi seminary ruled that crypto payments are impermissible under Islamic law. The ruling, issued by Jamia Darul Uloom Karachi, was signed by six scholars, including prominent jurist Mufti Taqi Usmani.
The regulation of virtual assets in Pakistan has been gaining momentum, with the passage of the Virtual Assets Act 2026 in March and the lifting of a restriction on banks opening accounts for Virtual Asset Service Providers in April. However, the ruling by Jamia Darul Uloom Karachi could complicate this effort by discouraging adoption among a population that takes Islamic financial principles seriously.
PVARA's chairman, Bilal bin Saqib, met with Usmani to discuss the issue and emphasized the need for careful technical assessment alongside rigorous Shariah examination. He argued that the broad range of technologies grouped under the word crypto deserve individual scrutiny rather than being viewed through a single lens.