Senate Committee Proposes Key Changes to Pakistan Virtual Assets Bill 2025

ISLAMABAD: The Senate Standing Committee on Finance and Revenue on Wednesday recommended sweeping amendments to the Pakistan Virtual Assets Bill 2025, including a ban on members and staff of the Pakistan Virtual Asset Regulatory Authority (PVARA) from trading in virtual assets. The committee also proposed shifting PVARA under the Finance Division instead of the Cabinet Division to strengthen oversight.

During deliberations, PML-N Senator Afnanullah Khan accused the Secretary of Law of plagiarism, alleging that the government had reproduced his earlier private member’s bill. He maintained that the Ministry of Law had initially opposed his draft but later presented a copy of it as the government’s version.

“This is shameful,” Senator Afnanullah remarked, adding that the practice undermines parliamentary integrity. Committee chair Senator Saleem Mandviwalla echoed his criticism, noting that similar incidents had occurred before, where the government only acted after parliamentarians took legislative initiatives. Senator Dilawar Khan compared the situation to someone claiming ownership of Mirza Ghalib’s poetry.

Law Secretary Raja Naeem Akbar denied seeing Senator Afnanullah’s bill until it was brought before the Senate panel. However, the senator insisted that the law minister had previously opposed his draft in the chamber. He proposed a privilege motion against the Secretary, accusing him of misleading Parliament.

The Senate committee also recommended stricter eligibility criteria for PVARA officials. Members and the chairman should possess at least five years of relevant experience and must be under 55 years of age. Senator Afnanullah further emphasized the need for stronger safeguards for data privacy and urged that service providers be held directly accountable for any breaches.

Another major point of contention was the $10,000 cap on virtual asset transactions. Senators Saleem Mandviwalla and Mohsin Aziz questioned the restriction, suggesting that if the government was serious about regulating the virtual assets sector, such limits could discourage legitimate trade and investment.

The Pakistan Virtual Assets Bill 2025 was introduced through a presidential ordinance on July 8 to establish PVARA as an independent regulator. The authority will oversee virtual asset service providers, ensure compliance with the Financial Action Task Force (FATF) standards, and prevent money laundering and terror financing. Its board will include senior officials such as the State Bank governor, the finance, law, and IT secretaries, along with the heads of SECP, FBR, and the Digital Pakistan Authority. Two independent experts in law, finance, or technology will also be appointed.

Under the new licensing regime, any individual or company offering virtual asset services in or from Pakistan will be required to obtain a license from PVARA. The bill lays down comprehensive conditions for licensing, compliance, and reporting obligations to enhance transparency and investor protection.

Importantly, the framework integrates Islamic finance principles, mandating the creation of a Sharia Advisory Committee to ensure that virtual asset products and services remain Sharia-compliant.

The proposed amendments reflect the Senate committee’s intent to build stronger regulatory safeguards, protect investor interests, and strike a balance between innovation and accountability in Pakistan’s growing digital economy.