Pakistan Signs Agreement to Assess USD1 Stablecoin in Regulated Payment Systems

Highlights:

• Pakistan is reviewing stablecoin payments to improve cross-border transfers.
• The central bank is assessing how the USD1 Stablecoin could fit within Pakistan’s digital payments and currency plans.
• The talks reflect Pakistan’s wider effort to formalize crypto rules and attract controlled foreign investment.

Pakistan has signed an agreement to explore stablecoin use for cross-border payments, according to a Reuters report citing people familiar with the matter. The deal involves SC Financial Technologies, a firm linked to World Liberty Financial, the crypto venture associated with the family of U.S. President Donald Trump. Sources told Reuters the agreement represents one of the first publicly known partnerships between a sovereign state and a Trump-linked crypto project. Officials want to assess whether regulated stablecoin payments can support remittances and other international transfers.

Reuters reported that Pakistan has signed an agreement with a company affiliated with World Liberty Financial (WLF) to work with the State Bank of Pakistan on integrating WLF’s USD1 stablecoin into the country’s regulated digital payments framework, allowing it to operate…

— Wu Blockchain (@WuBlockchain) January 14, 2026

The agreement focuses on testing stablecoin transactions within Pakistan’s regulated financial environment. Officials intend to assess the speed of settlement, compliance intervention, and overall cost efficacy as per the current payment regulations. Remittances are also a vital foreign exchange source to Pakistan, and payment efficiency is still at the top of the policy agenda. As a result, regulators continue to examine digital tools that could improve cross-border payment performance without weakening oversight.

Reuters reported that Pakistan expects to formally announce the agreement during a visit by World Liberty chief executive Zach Witkoff to Islamabad. However, the parties have not disclosed financial terms, pilot timelines, or operational details. Information about SC Financial Technologies also remains limited, according to the report. Still, officials describe the engagement as part of a broader effort to modernize Pakistan’s financial infrastructure.

Central Bank Reviews USD1 Stablecoin Integration

Under the agreement, World Liberty Financial will work with Pakistan’s central bank. The collaboration will review the integration of the USD1 Stablecoin into a regulated digital payments framework overseen by authorities. Officials expect the token to operate alongside Pakistan’s developing digital currency infrastructure.

Pakistan’s central bank has already outlined steps toward digital currency development. In July, the governor confirmed preparations for a national digital currency pilot program. At the same time, lawmakers have been finalizing legislation that governs virtual asset activity. These parallel efforts signal a broader push to bring crypto-related payments under formal supervision.

Pakistan has also managed to make progress with reforms within its broader crypto ecosystem. The government formed the Pakistan Virtual Assets Regulatory Authority to monitor the industry. They have allowed big exchanges, such as Binance and HTX, to run locally. Officials have also discussed building a Bitcoin reserve and exploring real-world asset tokenization to attract foreign investment.

Pakistan takes a decisive step toward a regulated digital asset future.

Pakistan Virtual Assets Regulatory Authority (PVARA) has issued NOCs to Binance and HTX, launching a phased, FATF-aligned pathway toward full licensing. Strong governance, AML and CFT compliance remain… pic.twitter.com/jSk6JTqvFt

— Pakistan Virtual Assets Regulatory Authority (@PakistanVARA) December 12, 2025

World Liberty’s Past Deals and Pakistan Engagement

World Liberty Financial has attracted attention through earlier high-value transactions. In May last year, Abu Dhabi-backed MGX used the firm’s stablecoin to complete a $2 billion equity stake purchase in Binance.

Earlier this week, World Liberty launched World Liberty Markets, an onchain lending and borrowing platform built around its stablecoin and governance token. The platform allows users to post collateral such as Ether, tokenized Bitcoin, and major stablecoins. It also relies on a governance token to manage protocol decisions. Reuters did not link the platform directly to Pakistan’s planned payment tests.

World Liberty Financial Launches First WebApp, World Liberty Markets, Expanding USD1 Utility Through Dolomite https://t.co/mA3yEoZp5K

— Andro (@AndroOxinu) January 14, 2026