Pakistan FIA establishes dedicated crypto crime unit
Pakistan is separating digital asset regulation from criminal enforcement as it builds a framework to support major exchange licenses while tackling crypto-linked fraud.
Pakistan’s Federal Investigation Agency has established a dedicated unit to investigate cybercrime and financial fraud linked to cryptocurrency. The unit marks a new phase in the government's approach to digital assets. It shifts the state's focus from establishing basic rules to actively policing the market.
The move creates a clear division of labor within the country’s financial framework. While the Virtual Assets Regulatory Authority retains exclusive responsibility for regulating digital assets, the FIA will now handle criminal enforcement. For international exchanges and institutional investors, this signals that Pakistan is building an infrastructure that couples market access with strict law enforcement.
This enforcement push follows a period of rapid regulatory maturation. PVARA was established in July 2025 and has already approved operating licenses for major global exchanges, including Binance and HTX. This licensing wave has opened a legally compliant channel for capital in a previously restricted market.
The potential scale of that market is substantial. Bilal Bin Saqib, the PVARA chair, stated in December 2025 that "Pakistan ranked as the world’s third-largest crypto market by retail activity." At the same event, former Binance CEO Changpeng Zhao said that based on the country’s regulation and adoption, "the country could become a world leader in the industry by 2030."
However, high retail adoption typically attracts illicit activity, prompting the government's latest response. Muhammad Athar Waheed, Director of the FIA Counter-Terrorism Wing, has recommended that other state agencies establish their own specialized crypto units to address digital asset-related crime.
For market professionals, the takeaway is a dual-edged regulatory reality. Pakistan is actively welcoming licensed crypto businesses into its borders, but it is simultaneously equipping its federal agencies to police them. Firms operating under PVARA licenses will need to ensure their internal compliance protocols are robust enough to withstand scrutiny from this new investigative unit.
