Islamabad: Bilal Bin Saqib, Minister of State and Chairman of the Pakistan Virtual Assets Regulatory Authority (PVARA), addressed the Silk Road Finance & Technology Forum in Tashkent, discussing how artificial intelligence and tokenisation are transforming financial institutions, capital markets, and global value movement. He emphasized the need for regulatory institutions to keep pace with rapidly evolving technologies.

According to Press Information Department, Chairman PVARA spoke alongside senior central bank officials from Cambodia and Azerbaijan in a session titled “Regulating the Frontier: AI & Tokenization Spotlight.” He discussed Pakistan’s shift from restricting virtual assets to implementing a regulatory framework, aiming to prepare the country for advancements in digital finance.

Chairman PVARA explained that Pakistan’s previous restrictions on virtual assets, enacted in 2018, led to significant market activities moving to offshore platforms, decreasing regulatory oversight. In response, Pakistan introduced the Virtual Assets Act, 2026, establishing PVARA as the regulator for virtual assets. The authority has since opened a licensing portal and outlined regulations for virtual asset service providers, allowing them to operate in a regulated environment.

Bilal Bin Saqib noted that artificial intelligence will significantly impact financial products and institutions, necessitating technology-enabled regulatory bodies to supervise these rapidly evolving markets. He emphasized the importance of maintaining consumer protection and financial stability as institutions become more digital and automated.

The Chairman also discussed tokenisation as an important development in the issuance, distribution, and ownership of financial assets. He highlighted Pakistan’s interest in using tokenisation for sovereign investment products to enhance access for the Pakistani diaspora. Furthermore, PVARA and the State Bank of Pakistan are exploring a model for a digitally native sovereign note on regulated blockchain infrastructure.

Chairman PVARA stressed the importance of Pakistan’s young population transitioning from technology consumers to builders of companies and financial infrastructure. PVARA’s regulatory sandbox offers a supervised environment for testing new products in areas such as tokenisation and digital asset custody.

In conclusion, Bilal Bin Saqib underscored Pakistan’s aim to not only regulate current technologies but also to develop the digital infrastructure and institutional capacity to participate in the future financial economy.