Senate Committee Recommends Shifting Virtual Assets Authority under Finance Division

Islamabad, September 3— The Senate Standing Committee on Finance and Revenue has recommended placing the proposed Virtual Assets Authority under the Finance Division instead of the Cabinet Division, citing the specialized nature of its functions. The recommendation came during a committee meeting held at the Parliament House on Wednesday, chaired by Senator Saleem Mandviwalla. The session focused on reviewing theVirtual Assets Bill, 2025, which seeks to regulate virtual assets in line with international standards. According to a statement issued by the Senate Secretariat, the committee emphasized that oversight of the Virtual Assets Authority would be more appropriately managed by the Finance Division. “While thoroughly examining the bill, the committee recommended that the Virtual Assets Authority should be placed under the Finance Division instead of Cabinet Division, given the nature of the subject,” the statement noted. The proposed authority is expected to play a critical role in curbing financial crimes such asmoney laundering, terror financing, and otherillicit activitieslinked to digital assets. During the meeting, the committee also set criteria for the appointment of the Authority’s chairperson, recommending anupper age limit of 55 yearsand aminimum of five years’ experienceindigital finance and technology. After an in-depth discussion, the committee decided todefer further deliberationson the bill to its next meeting. Separately, last month, thePakistan Virtual Assets Regulatory Authority (PVARA)held its inaugural board meeting in Islamabad, where it deliberated onwithdrawing theState Bank of Pakistan’s (SBP)2018 ban on virtual currencies. The board also discussed a roadmap for implementingAI-driven risk management, licensing regimes, and other regulatory frameworks. The SBP’sBPRD Circular No. 03 of 2018had prohibited financial institutions from dealing in virtual currencies such asBitcoin, Litecoin, Pakcoin, OneCoin, DasCoin, and Pay Diamond, stating that these were not recognized as legal tender or backed by the Government of Pakistan.