Can Binance Founder Help Pakistan Become a Crypto Power?

Islamabad, Pakistan –

In a significant move signaling its embrace of cryptocurrency, Pakistan appointed Changpeng Zhao, the founder of Binance, the world’s largest cryptocurrency exchange, as a strategic adviser to its newly formed Pakistan Crypto Council (PCC) on April 8, 2025. This appointment reflects the government’s intent to enhance its digital finance landscape and position Pakistan as a key player in the global cryptocurrency economy.

The Launch of the Pakistan Crypto Council

After years of hesitancy towards digital currencies, Islamabad initiated a paradigm shift in March 2025 with the establishment of the PCC. The council is tasked with not only fostering innovation within the cryptocurrency sector but also establishing a regulatory framework to protect both investors and the financial system.

Finance Minister Muhammad Aurangzeb stated that Zhao’s joining the advisory board represents a “landmark moment” for Pakistan, asserting, "We are sending a clear message to the world: Pakistan is open for innovation." He indicated that Zhao’s experience and insights would be pivotal for developing a robust crypto ecosystem capable of stimulating economic growth driven by web3 technologies, blockchain, and digital finance.

Changpeng Zhao’s Insights

Zhao, known in the finance world simply as "CZ," expressed enthusiasm for Pakistan’s potential, noting its youthful demographic of over 240 million people, with more than 60% under the age of thirty. Zhao emphasized, "The potential here is limitless," underscoring the vast opportunities for crypto development in the nation.

His role involves providing guidance on critical areas such as regulation, infrastructure, education, and adoption strategies, which could significantly shape the future landscape of cryptocurrency in Pakistan.

Contextual Shifts in Cryptocurrency Policy

The appointment comes during a broader context of regulatory reassessment in Pakistan, which had previously taken a conservative approach by banning financial institutions from engaging in cryptocurrency transactions back in 2018. The government appears to be reevaluating its stance, partly influenced by shifts in global perceptions of cryptocurrencies, including changes initiated by international leaders.

The Growing Crypto User Base

Bilal bin Saqib, a British Pakistani tech entrepreneur, was also appointed as the PCC’s chief adviser. He stated that an estimated 15 to 20 million Pakistanis currently hold cryptocurrency, estimating that these digital assets represent billions of US dollars in transactions. Saqib emphasized the need for clear regulatory frameworks to legitimize this growing sector and attract investment.

The Role of International Influences

Interestingly, the influence of global political figures, such as U.S. President Donald Trump, has also been noted as a catalyst for Pakistan’s evolving crypto policy. Initially a critic of cryptocurrencies, Trump has shifted his position, proposing new regulatory frameworks that could impact nations worldwide, including Pakistan. Saqib remarked, “Trump is making crypto a national priority, and every country, including Pakistan, will have to follow suit.”

Pros and Cons of Cryptocurrency Regulation

While many view this regulatory shift as a positive step towards embracing modern finance, skepticism remains. Some experts warn that the regulatory framework might stifle innovation rather than promote it. Ibrahim Khalil, a banking and finance professional, opined that Pakistan’s move towards regulatory measures mirrors a global trend of governmental caution towards cryptocurrencies that have at times outpaced actual utility.

He expressed concern that regulating cryptocurrencies could negate the very advantages they offer, such as anonymity and resistance to centralized oversight. Khalil further pointed out that any attempt to introduce a regulated crypto fund would necessitate a well-organized legal and operational structure that could cope with the complexities of digital assets.

Infrastructure Challenges for Adoption

Despite the optimism surrounding the growing cryptocurrency sector, experts highlight significant challenges related to Pakistan’s existing digital infrastructure. Currently ranked 97th in mobile internet speed and 142nd in broadband speed globally, the country faces hurdles such as electricity shortages and high energy costs, which could impede large-scale cryptocurrency adoption, especially in resource-intensive activities like Bitcoin mining.

While there is potential for innovation, particularly in partnerships that leverage alternative energy sources for mining, Pakistan must first address its foundational digital infrastructure before pursuing aggressive targets for crypto integration.

Conclusion

Pakistan’s strategic move to appoint Changpeng Zhao as an adviser to the Pakistan Crypto Council marks a pivotal moment in the nation’s approach to cryptocurrency, transitioning from a stance of caution to one of potential embrace and integration. However, as the country navigates regulatory frameworks and works to overcome infrastructural barriers, it remains to be seen whether these efforts will successfully position Pakistan as a formidable player in the global cryptocurrency arena. As discussions unfold, the balance between regulation and innovation will be crucial for the future economic landscape of cryptocurrency in Pakistan.

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