Page 65 - CMA Journal (Jan-Feb 2026)

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4) Planning - Regulatory sandboxes allow blockchain
Key Developments
experiments. Accountants create cost models,
1) Market Rules: PVARA grants, suspends, or cancels performance metrics, and risk-adjusted plans for
licenses and can impose fines. Early licensing of new digital services.
exchanges like Binance and HTX encourages legal
participation, fintech growth, and job creation. 5) Global Standards - Alignment with international
rules ensures accountants maintain audits, internal
2) Investor Safety: KYC, AML, and security rules controls, and compliance reporting, keeping
reduce fraud and build trust. Enforcement prevents Pakistan’s crypto market credible and globally
incidents like the USD 60 million crypto scam and competitive.
channels funds into formal systems, improving tax
collection.
About PVARA
3) Global Standards: Compliance with international The Pakistan Virtual
AML/CFT rules attracts institutional investors,
Assets Regulatory
promotes technology transfer, and positions
Authority (PVARA)
Pakistan as a regional hub for digital finance.
is Pakistan’s independent regulator for crypto and digital
4) Innovation & Inclusion: Regulations support assets. It was established in July 2025 under the Virtual
tokenization, stablecoins, and remittance services. Assets Act 2025 and operates under the Ministry of
Millions of previously unbanked users gain access, Finance.
boosting entrepreneurship and economic activity.
Plans for a Digital Pakistani Rupee further enhance PVARA is responsible for licensing and supervising virtual
financial inclusion. asset service providers, ensuring that crypto activities in
Pakistan operate within a clear legal framework. It
5) Capacity & Skills: PVARA focuses on investor
enforces KYC, AML, and international compliance
education, professional training, and
standards, monitors market activities, and takes action
Shariah-compliant crypto products to improve
against violations.
market skills and encourage innovation.
The authority aims to protect investors, prevent financial
6) Economic Impact: Formalizing the USD 20–30
billion informal crypto economy and expanding crimes, and encourage responsible innovation in the
fintech adoption supports GDP growth, digital assets sector. Its establishment is a major step in
technology-driven productivity, and high-tech job aligning Pakistan with global regulatory standards and
creation. supporting the growth of a secure and transparent
digital finance ecosystem.
What Accountants Should Know
Accountants play a strategic role in Pakistan’s crypto
market, ensuring compliance, transparency, and
effective risk management. Their work supports the
safe growth of the digital assets sector.
1) Licensing - PVARA regulates crypto providers
under the Virtual Assets Act 2026. Accountants
ensure reporting, audits, and digital asset valuation
follow compliance rules.

2) Compliance - AML, CFT, and KYC standards are
strictly enforced. Accountants track compliance,
manage risks, and strengthen investor trust and
market credibility.
3) Cross-Border - With global exchanges like Binance
and HTX, and the rise of stablecoins and tokenized
assets, accountants manage foreign asset
valuation, currency exposure, and international
reporting.

ICMA’s Chartered Management Accountant, Jan-Feb 2026 63