Pakistan hires Binance to advise on large-scale tokenization of state assets

The finance ministry said the work will explore turning assets such as government bonds, treasury bills and commodity reserves into blockchain-based tokens, a structure officials say could improve liquidity and broaden access for investors. The initiative is tied to a wider effort to formalize virtual-asset rules and build regulated channels for crypto services inside the country.

Binance, one of the world’s largest crypto exchanges, has signed a memorandum of understanding with Pakistan’s government to advise on the tokenization effort. The ministry described tokenization as creating a digital representation of a real-world asset that can be issued, tracked and potentially traded using blockchain infrastructure.

Officials said the scope under discussion could reach $2 billion, although the final size and structure would depend on approvals and implementation details. The finance minister described the arrangement as part of Pakistan’s reform agenda and a longer-term partnership focused on modernizing financial infrastructure.

The tokenization talks come as Pakistan’s regulators publicly signal that a national stablecoin is in the works. The head of the Pakistan Virtual Assets Regulatory Authority has said the country plans to launch a stablecoin as part of bringing virtual assets into a formal framework, alongside other digital-money initiatives.

A stablecoin is a crypto token designed to hold a steady value – most commonly by being pegged to a fiat currency such as the U.S. dollar – and it is often used to move money quickly between platforms or settle trades without relying on bank transfers. Pakistan’s push suggests it wants to use stablecoins and tokenized instruments as rails for domestic and cross-border transactions while increasing oversight of how those rails operate.

The government’s move is part of a broader sprint to create a regulated digital-asset market. Pakistan has set up a dedicated virtual-assets regulator and a Pakistan Crypto Council, and officials have said a Virtual Assets Act and a central bank digital currency pilot are also planned for 2025.

In parallel with the Binance advisory role, the regulator has also issued early approvals to Binance and HTX after reviewing governance and compliance controls, allowing them to set up local entities and begin a phased process toward full licensing.

Pakistan already ranks among the largest retail crypto markets by activity, which has increased the urgency for clearer rules and supervised entry points for exchanges and digital-asset products. Officials have positioned the tokenization and stablecoin initiatives as tools to improve transparency and market access while keeping compliance requirements at the center of the licensing process.

The push also lands as more jurisdictions expand formal licensing regimes for crypto platforms and set clearer standards for stablecoins and tokenized real-world assets, raising pressure on markets with high retail usage to build regulatory frameworks that can support institutional participation.