By Staff Reporter
ISLAMABAD: Pakistan has struck a deal with a company tied to the Trump family’s main cryptocurrency venture to study the use of a dollar-pegged stablecoin for cross-border payments, marking one of the first public tie-ups between the platform and a sovereign government.
The memorandum of understanding with SC Financial Technologies LLC, described as an affiliate of World Liberty Financial, will foster technical discussions on digital payment systems and potentially integrate World Liberty’s USD1 stablecoin into regulated channels, according to a statement from the Pakistan Virtual Asset Regulatory Authority.
The agreement comes as relations between Pakistan and the US thaw, and as governments worldwide weigh the role of stablecoins, digital tokens typically backed by the dollar, in formal financial networks. World Liberty, launched in September 2024, has driven a surge in revenue for the Trump Organization, including from overseas sources, Reuters reported last year.
Zach Witkoff, co-founder and chief executive officer of World Liberty and also CEO of SC Financial, visited Pakistan for the signing and met with top officials, including Prime Minister Shehbaz Sharif, Finance Minister Muhammad Aurangzeb and Chief of Army Staff Field Marshal Asim Munir.
In a post on X, the government highlighted Sharif’s push for a Digital Pakistan, digital payments and financial innovation to boost connectivity, transparency and growth, while noting growing global interest in the country’s digital markets.
Under the pact, SC Financial will collaborate with Pakistan’s central bank to mesh the USD1 stablecoin with local digital currency infrastructure. “Our focus is to stay ahead of the curve by engaging with credible global players, understanding new financial models, and ensuring that innovation, where explored, is aligned with regulation, stability, and national interest,” Aurangzeb said in the statement.
Witkoff, son of US special envoy Steve Witkoff, discussed digital payment setups, cross-border settlements and foreign exchange with senior stakeholders, the authority said. In a separate meeting with Munir, he praised Pakistan’s economic potential and the leadership’s embrace of advanced technologies to unlock it, according to the military’s public relations arm.
Munir stressed the country’s dedication to economic stability, investor confidence and a supportive environment for private sector involvement in development, the statement added. The move reflects broader interest from foreign investors in Pakistan’s economy and fintech prospects, signaling confidence in financial inclusion and digital cross-border finance, the military said.
Stablecoins have swelled in popularity amid US federal rules under President Donald Trump that are viewed as industry-friendly. Last May, Abu Dhabi’s state-backed MGX used World Liberty’s stablecoin to acquire a $2 billion stake in Binance, the world’s biggest crypto exchange.
Pakistan, meanwhile, is ramping up digital currency efforts to curb cash reliance and streamline remittances, a vital foreign exchange lifeline. The central bank governor said in July it’s gearing up for a digital currency pilot and wrapping up virtual asset regulations. World Liberty’s outreach to Pakistan builds on prior engagements, including an April letter of intent with the Pakistan Crypto Council for knowledge-sharing on emerging financial tech. SC Financial, registered in Delaware, co-owns the USD1 stablecoin brand with World Liberty, per July 2025 reserve documentation.
Copyright © 2021 Independent Pakistan | All rights reserved
