Pakistan debates whether crypto complies with Islamic law

Pakistan is currently debating whether cryptocurrencies are compliant with Sharia, or Islamic law, The Block reported. The discussion involves the country's Virtual Asset Regulatory Authority (PVARA). Some Sharia scholars have argued that cryptocurrencies are merely virtual ledger entries not recognized as property, meaning ownership of items like books purchased with crypto is not established. In response, PVARA has stated that technologies like blockchain, stablecoins, and tokenized real-world assets have different uses and should undergo individual Sharia review rather than being judged by a single standard. The outcome of this debate is expected to influence Pakistan's cryptocurrency policies, including the potential issuance of a state-run stablecoin and the licensing of exchanges.