Pakistan has no dedicated cryptocurrency or digital asset securities law; crypto assets are not recognized as "securities" under the Securities Act, 2015, and no license exists for crypto exchanges or digital asset brokers. Securities & Exchange Commission of Pakistan (SECP)

The Securities and Exchange Commission of Pakistan (SECP) regulates securities brokers under the Securities Act, 2015, and the Securities Brokers (Licensing and Operations) Regulations, 2016, but these rules apply only to traditional securities, not digital assets. Brokers & Agents - Licensing | SECP

SECP has not issued any license to a cryptocurrency exchange, digital asset custodian, or token issuer as of 2025–2026; the SECP maintains a public list of companies suspected of engaging in unauthorized activities, including unlicensed crypto-related entities. Securities & Exchange Commission of Pakistan (SECP)

The practical reality is that crypto businesses cannot obtain a securities license in Pakistan because the legal framework does not accommodate digital assets; any entity offering crypto brokerage or exchange services operates outside the law and faces enforcement risk. Securities & Exchange Commission of Pakistan (SECP)

SECP's regulatory sandbox exists, but it has not been publicized as accepting crypto-related fintech applications, and no crypto firm has emerged from the sandbox with a license. Securities & Exchange Commission of Pakistan (SECP)

The Securities and Exchange Commission of Pakistan (SECP) is the primary regulator for securities and capital markets in Pakistan, established under the Securities and Exchange Commission of Pakistan Act, 1997 (Act No. XLII of 1997), which came into force on December 19, 1997. The Securities and Exchange Commission of Pakistan Act, 1997 (Act No. XLII of 1997), Pakistan, WIPO Lex

SECP became operational on January 1, 1999, and its mandate includes regulation of the corporate sector and capital market, supervision of insurance companies, and regulation of non-banking finance companies and private pension schemes. Securities & Exchange Commission of Pakistan

The Securities Act, 2015 is the primary law governing securities activities in Pakistan, and it defines which activities constitute regulated securities activities; crypto assets are not classified as securities under this Act. Brokers & Agents - Licensing | SECP

The Securities Brokers (Licensing and Operations) Regulations, 2016 (SB Regulations) are the secondary legislation that prescribes eligibility conditions, licensing procedures, renewal requirements, and general obligations for securities brokers. Brokers & Agents - Licensing | SECP

The Companies Act, 2017 governs company incorporation in Pakistan, and companies engaged in specialized businesses, including financial services, must obtain a No Objection Certificate (NOC) or license from the relevant regulatory authority, which for securities would be SECP. Securities & Exchange Commission of Pakistan

SECP has issued the Companies Regulations 2024, which update corporate governance and compliance requirements for companies operating in Pakistan, but these regulations contain no provisions addressing crypto assets or digital securities. Securities & Exchange Commission of Pakistan (SECP)

Pakistan is a member of the Financial Action Task Force (FATF), and its AML/CFT regime applies to financial institutions regulated by SECP, but the legal framework does not yet extend AML obligations specifically to virtual asset service providers. Securities & Exchange Commission of Pakistan (SECP)

SECP operates a Regulatory Sandbox for innovative financial products, but the sandbox is not publicized as a pathway for crypto licensing, and no digital asset company has been reported as a sandbox participant. Securities & Exchange Commission of Pakistan (SECP)

SECP's jurisdiction covers capital markets, securities brokers, futures brokers, non-banking finance companies (NBFCs), and insurance companies, but there is no separate category for digital asset exchanges or crypto custodians within SECP's licensing structure. Securities & Exchange Commission of Pakistan (SECP)

The SECP requires all securities brokers to hold a Trading Right Entitlement Certificate (TREC) from the Pakistan Stock Exchange (PSX) as a precondition for applying for a broker license, and TRECs are only issued for exchange membership, which does not extend to crypto trading platforms. Brokers & Agents - Licensing | SECP

The SECP Act, 1997 extends to the whole of Pakistan, and Section 43 of the Act was to come into force on a date appointed by the Federal Government, indicating phased implementation of certain provisions. The Securities and Exchange Commission of Pakistan Act, 1997 (Act No. XLII of 1997), Pakistan, WIPO Lex

SECP maintains a "List of Companies suspected to be engaged in Unauthorized Activities" which is publicly available on its website, and this list includes entities that offer financial services without SECP approval. Securities & Exchange Commission of Pakistan (SECP)

The SECP Act, 1997 was adopted on December 19, 1997, and the legal text is available through WIPO Lex, confirming its status as a current and binding national law of Pakistan. The Securities and Exchange Commission of Pakistan Act, 1997 (Act No. XLII of 1997), Pakistan, WIPO Lex

SECP's mandate includes oversight of various external service providers, which encompasses auditors, credit rating agencies, and other market intermediaries, but does not include any reference to virtual asset service providers. Securities & Exchange Commission of Pakistan

The Companies Act, 2017, specifically Section 10, and Regulation 4 of the Companies Regulations govern company name availability and restrictions, which would apply to any company seeking to incorporate with "crypto," "blockchain," or "digital asset" in its name. Securities & Exchange Commission of Pakistan

No entity in Pakistan has been licensed by SECP to operate a cryptocurrency exchange, digital asset broker, crypto custodian, or token issuer; the zero-license reality is absolute as of 2025–2026. Securities & Exchange Commission of Pakistan (SECP)

Securities broker licensing in Pakistan is regulated under the Securities Act, 2015 read with the Securities Brokers (Licensing and Operations) Regulations, 2016, and the only entities eligible to apply are TREC holders of the Pakistan Stock Exchange (PSX). Brokers & Agents - Licensing | SECP

An application for a securities broker license must be made to SECP through the Pakistan Stock Exchange in terms of Regulation 5 of the SB Regulations, and SECP grants the license only if satisfied that the applicant is eligible and that granting the license is in the interest of the public and the capital market. Brokers & Agents - Licensing | SECP

The securities broker license is valid for one year only, and renewal is required annually, with the procedure for grant and renewal detailed in SECP's published checklist. Brokers & Agents - Licensing | SECP

SECP's licensing categories for capital markets include Securities Brokers, Futures Brokers, and Others, but there is no category for "Digital Asset Brokers," "Crypto Exchanges," or "Virtual Asset Service Providers." Securities & Exchange Commission of Pakistan (SECP)

Application requirements for any company in Pakistan, including companies seeking financial services licenses, require submission of Memorandum and Articles of Association, CNIC/NICOP copies of directors, NOC from relevant regulatory authorities, and registration/filing fees. Securities & Exchange Commission of Pakistan

For a small company with nominal share capital not exceeding Rs. 100,000, the total incorporation fee is Rs. 1,800 for online submission and Rs. 3,500 for offline submission, but these fees relate only to company incorporation, not to any securities or crypto license. Securities & Exchange Commission of Pakistan

Foreign companies seeking to incorporate in Pakistan must provide the company profile, details of directors, nationality and country of origin, and certified copies of the charter, statute, or memorandum and articles, but no special crypto-related licensing pathway exists for foreign firms. Securities & Exchange Commission of Pakistan

The SECP's NBFC (Non-Banking Finance Company) licensing framework exists for entities like investment banks, leasing companies, and microfinance institutions, but it does not include a license category for digital asset funds or blockchain-based financial services. Securities & Exchange Commission of Pakistan (SECP)

SECP's "Licensing" webpage lists Company Formation, Regulatory Sandbox, Capital Markets, NBFCs, and Insurance as the licensing domains, and crypto/digital assets appear nowhere in these categories. Securities & Exchange Commission of Pakistan (SECP)

The Securities Brokers (Licensing and Operations) Regulations, 2016 prescribe eligibility conditions, licensing procedures, effects of refusal, renewal, and general obligations, but all of these provisions are premised on the applicant being a TREC holder of PSX, which itself requires trading in traditional listed securities. Brokers & Agents - Licensing | SECP

SECP may refuse a license if the applicant is not in compliance with the Securities Act, 2015, the SB Regulations, or any directives, guidelines, or codes issued thereunder, meaning any entity involved in unlicensed crypto activity would fail the fit-and-proper test. Brokers & Agents - Licensing | SECP

A Trading Right Entitlement Certificate (TREC) is a prerequisite for securities broker licensing, and TRECs are issued exclusively by the Pakistan Stock Exchange for trading rights in the exchange's traditional securities market, making it impossible for a crypto exchange to obtain one under current rules. Brokers & Agents - Licensing | SECP

SECP's guide book on Securities Brokers, dated December 14, 2022, provides detailed eligibility criteria and procedures for would-be applicants, but it contains no reference to digital assets, cryptocurrencies, or blockchain tokens. Brokers & Agents - Licensing | SECP

There is no timeline for crypto licensing because there is no crypto license to apply for; the only available licensing routes are for traditional securities brokers, futures brokers, NBFCs, and insurance entities. Securities & Exchange Commission of Pakistan (SECP)

SECP regulates securities brokers, and the SB Regulations impose general obligations on brokers, which include compliance with anti-money laundering and counter-financing of terrorism (AML/CFT) requirements, but these obligations apply only to traditional securities transactions, not crypto transactions. Brokers & Agents - Licensing | SECP

SECP's oversight of external service providers includes monitoring of compliance with applicable laws, including AML rules, but Pakistan's AML/CFT framework under FATF guidelines does not yet cover virtual asset service providers as a distinct category. Securities & Exchange Commission of Pakistan

Customer due diligence (CDD) requirements for securities brokers are embedded in the SB Regulations, requiring brokers to verify client identity and maintain records, but no specific CDD protocols exist for crypto wallet verification or blockchain address screening. Brokers & Agents - Licensing | SECP

Enhanced due diligence (EDD) procedures, suspicious transaction reporting (STR), beneficial ownership identification, and PEP (politically exposed persons) screening are all part of Pakistan's AML regime for regulated entities, but these obligations have not been extended to unlicensed crypto firms operating in Pakistan. Securities & Exchange Commission of Pakistan (SECP)

Record retention requirements for securities brokers are prescribed under the SB Regulations and the Securities Act, 2015, but there is no equivalent requirement for crypto exchanges because no crypto exchanges are licensed. Brokers & Agents - Licensing | SECP

The beneficial ownership reporting framework in Pakistan applies to companies incorporated under the Companies Act, 2017, and would technically apply to any crypto company that incorporates, but SECP has not issued crypto-specific beneficial ownership guidance. Securities & Exchange Commission of Pakistan

SECP maintains a list of digital lending apps that have been approved, showing the regulator's approach to vetting fintech products, but no similar list exists for approved crypto apps or platforms. Securities & Exchange Commission of Pakistan (SECP)

The SECP eZfile portal requires user registration for company filing and annual filings, and all companies incorporating in Pakistan must file through this system, but the system has no crypto-specific filing category. Securities & Exchange Commission of Pakistan (SECP)

SECP maintains and publishes a "List of Companies suspected to be engaged in Unauthorized Activities" on its website, which serves as a public warning about entities offering financial services without SECP licenses, including potential crypto firms. Securities & Exchange Commission of Pakistan (SECP)

SECP operates a specialized "XS Complaint Portal" allowing the public to file complaints about unauthorized financial activities, and complaints related to crypto scams or unlicensed crypto exchanges would fall within this mechanism. Securities & Exchange Commission of Pakistan (SECP)

SECP has issued warnings to the general public to only download approved digital lending apps, demonstrating the regulator's enforcement posture toward unlicensed fintech services, and similar warnings would apply to unlicensed crypto apps. Securities & Exchange Commission of Pakistan (SECP)

The SECP's Securities and Deposits Management System (SDMS) has specified call timings for public queries, indicating an active monitoring and response mechanism for investor complaints, including those related to unauthorized securities activities. Securities & Exchange Commission of Pakistan (SECP)

Companies involved in unauthorized securities activities, including any crypto entities claiming to offer securities-like products, are subject to SECP's power to refuse licenses, revoke existing licenses, and take enforcement action under the Securities Act, 2015. Brokers & Agents - Licensing | SECP

SECP's Appellate Bench and its rules exist for companies to challenge SECP orders, but there is no public record of any crypto firm successfully challenging an enforcement action. Securities & Exchange Commission of Pakistan (SECP)

No tax guidance has been issued for virtual assets in Pakistan, and neither the SECP nor the Federal Board of Revenue has published specific rules on how crypto gains, staking rewards, or token sales should be taxed. Securities & Exchange Commission of Pakistan (SECP)

The SECP does not address taxation in any of its licensing or regulatory frameworks for securities brokers, and the SB Regulations contain no provisions on tax treatment of securities gains, let alone crypto gains. Brokers & Agents - Licensing | SECP

Pakistan's general tax framework under the Income Tax Ordinance would technically apply to any income generated in Pakistan, including crypto trading profits, but without specific FATF-aligned or SECP-issued guidance, the treatment remains ambiguous. Securities & Exchange Commission of Pakistan (SECP)

Capital gains tax rules in Pakistan apply to securities listed on PSX, but since crypto assets are not listed on PSX and are not recognized as securities, the capital gains framework cannot be directly applied to crypto. Brokers & Agents - Licensing | SECP

The most significant gap is the complete absence of a legal definition for "cryptocurrency," "virtual asset," or "digital token" in Pakistan's securities laws, meaning SECP lacks jurisdiction over these instruments unless they fall under the broad category of "securities" under the Securities Act, 2015, which they currently do not. Securities & Exchange Commission of Pakistan (SECP)

There is no licensing pathway for crypto exchanges or digital asset service providers, so any legitimate business seeking to operate in Pakistan cannot obtain legal authorization and must either operate illegally or leave the country. Brokers & Agents - Licensing | SECP

The TREC requirement for securities broker licensing creates a structural barrier for crypto companies, as TRECs are only available through PSX membership, which is limited to traditional securities markets. Brokers & Agents - Licensing | SECP

AML/KYC obligations are not enforceable against crypto firms because there is no legal framework requiring them to register with SECP, conduct CDD, or file STRs, creating a high money-laundering risk in the sector. Securities & Exchange Commission of Pakistan (SECP)

FATF compliance pressure on Pakistan may eventually force the government and SECP to introduce crypto regulation, but as of 2025–2026, no draft law or consultation paper has been published. Securities & Exchange Commission of Pakistan (SECP)

SECP's regulatory sandbox is theoretically open to fintech innovations, but the lack of publicized crypto applications and the absence of any crypto license issued to a sandbox participant indicates that SECP has not operationalized a pathway for digital assets. Securities & Exchange Commission of Pakistan (SECP)

The SECP's "List of Companies suspected to be engaged in Unauthorized Activities" is a reactive enforcement tool, not a proactive licensing gateway, meaning crypto firms are warned only after they begin operating illegally. Securities & Exchange Commission of Pakistan (SECP)

A business seeking to incorporate in Pakistan using "crypto" or "blockchain" in its name would face challenges under Section 10 of the Companies Act, 2017 and Regulation 4 of the Companies Regulations, which restrict registration of companies engaged in activities that are not legally recognized. Securities & Exchange Commission of Pakistan

General public confusion persists because SECP's website lists "Digital Lending Apps" as an approved category, suggesting fintech is welcome, but no equivalent exists for "Digital Asset Apps" or "Crypto Trading Platforms." Securities & Exchange Commission of Pakistan (SECP)

The SECP Act, 1997 establishes SECP's powers over "corporate entities" and "capital markets," but the Act predates Bitcoin (2009) and blockchain technology, and its provisions cannot be interpreted to cover crypto assets without legislative amendment or new secondary legislation. The Securities and Exchange Commission of Pakistan Act, 1997 (Act No. XLII of 1997), Pakistan, WIPO Lex

Securities & Exchange Commission of Pakistan (SECP)

Brokers & Agents - Licensing | SECP

Securities & Exchange Commission of Pakistan

The Securities and Exchange Commission of Pakistan Act, 1997 (Act No. XLII of 1997), Pakistan, WIPO Lex