PVARA Launches Licensing Portal for Pakistan's Virtual Asset Service Providers

Pakistan's Virtual Assets Regulatory Authority (PVARA) has launched a licensing portal for virtual asset service providers (VASPs), marking a significant shift from legislative to operational compliance. The move sets a September 5 deadline for existing VASPs that have been providing services in Pakistan since March 5 to apply for a no-objection certificate (NOC).

The framework requires licensed providers to segregate customer holdings and obtain written consent before lending or pledging them, among other operational and compliance requirements. PVARA has also outlined two licensing pathways: one for firms that can incorporate locally and another for those that want to pilot products through a regulatory sandbox.

Market participants should watch how quickly NOC applications are processed and whether the sandbox pathway launches smoothly for new product testing, as these outcomes will define how strictly the regulator draws the line between compliant and noncompliant operations. PVARA's enforcement rollout builds on earlier steps that set its authority and operational structure, including the Virtual Assets Act and banking rules allowing banks to provide accounts to licensed VASPs.