The Pakistan Virtual Assets Regulatory Authority (PVARA) is seeking a formal religious ruling to establish a clear boundary between speculative cryptocurrency and asset-backed digital tokens under Islamic law.
Chairman Bilal bin Saqib has approached the Jamia Darul Uloom, a prominent Islamic seminary, to determine whether specific digital assets constitute recognized wealth, or *maal*, under Shariah principles.
Saqib emphasized that the core issue is whether a digital asset meets the criteria for legitimate wealth.
Saqib emphasized that the core issue is whether a digital asset meets the criteria for legitimate wealth.
He stated that distinguishing between speculative instruments and those backed by tangible assets is essential for regulatory clarity.
The move signals an effort to create a compliant framework for digital finance in Pakistan, a market with significant religious and cultural considerations regarding financial instruments.
This development follows a previous ruling by renowned Islamic scholar Mufti Taqi Usmani, who declared that purchasing goods with cryptocurrency is impermissible.