VASPs licence process kicks off

Islamabad, Pakistan has officially launched the licensing process for Virtual Asset Service Providers (VASPs), a significant move towards integrating the country into the global digital asset economy through a regulated framework. According to Section 70 of the Virtual Assets Act 2026, current VASPs must submit applications for a No-Objection Certificate (NOC) by September 5, 2026, or face the cessation of their operations.

The Pakistan Virtual Assets Regulatory Authority (PVARA) has now put the licensing process into action, with application procedures and regulatory information accessible via its official website. This development occurs less than six months after Pakistan transitioned from primary legislation to regulatory notifications and the initiation of the licensing regime.

The new framework seeks to bring virtual asset-related businesses under formal regulatory oversight, encompassing licensing, compliance, accountability, and consumer protection requirements. The government views this regulatory framework as crucial for establishing a transparent and rule-based environment for digital asset businesses while allowing Pakistan to engage in the rapidly expanding global virtual asset economy.

Existing operators have been given a firm deadline to formalize their operations through the NOC process, signaling a significant shift from an unregulated market to formal regulatory supervision. PVARA has advised both prospective applicants and existing VASPs to thoroughly review the licensing requirements and submit their applications through its official portal.