Pakistan, Binance to Explore $2bn Tokenization Following a Visit from CZ and Justin Sun

According to a non-binding memorandum of understanding with Binance Investments Co. Ltd., the parties will assess whether blockchain technology can be used to digitize public assets including government bonds, treasury bills and state-owned commodities, such as oil, gas and metals. They’re also looking at how to expand access for international investors, subject to domestic law and regulatory approval, the Ministry of Finance said in a statement on X.

Scope of the agreement

A slew of social media publicity about the event highlighted who was in the room, as much as what was being agreed on or signed. 

Finance Minister Muhammad Aurangzeb hosted Binance chief executive Richard Teng, in the presence of Changpeng Zhao, founder of Binance and an adviser to the Pakistan Crypto Council, at an event in the nation’s capital Islamabad. 

Aurangzeb, the minister, said the objective was to improve liquidity, transparency and market access for Pakistan’s capital markets, describing the MoU signing as “a very strong message - not only for Pakistan, but for the entire world.” Binance and its affiliates may provide technical advice, training and capacity-building support to assess compliant blockchain infrastructure, according to the arrangements.

However, any definitive accords would be negotiated within six months and would not involve exclusivity or procurement commitments, the ministry said.

Pakistan also hosted controversial TRON founder Justin Sun during the same set of meetings – both Binance and digital asset platform HTX, affiliated to Sun, received “No Objection Certificates” (NOCs), according to a post on X by the Pakistan Virtual Assets Regulatory Authority (PVARA). Members of the group were also treated to a city tour, stopping for prayers at the Faisal Mosque, according to local media reports. 

Regulatory backdrop

By issuing the NOCs, Pakistan has effectively granted early regulatory clearance to Binance and HTX, allowing both firms to begin the process of applying for crypto exchange licences. VARA said they could register under anti-money laundering rules and establish local subsidiaries.

Asked “why Pakistan” by PVARA chairman Bilal bin Saqib in a video interview published on VARA’s X feed, Zhao, known as CZ, responded: “No. 1: Pakistan has you. No. 2 Pakistan moved really fast on this crypto regulation.”

CZ, who is the wealthiest person in crypto according to Forbes and achieved wider fame after being pardoned by President Trump in October, went on to say: 

“We’re very confident that by adopting crypto and having the regulations in place we can increase the reserves for the country,” adding that Binance’s clients would return remittances to Pakistan and that initiatives around stablecoins and tokenization would further contribute to this. “Every country wants that,” he added.

Bilal, who is pictured appearing at numerous Binance corporate events in recent years, saw fit to distribute a group selfie of himself, Sun and CZ riding the streets in a car.

Broader reforms

Pakistan has been positioning itself as a regulatory hub that aligns with international governance and compliance standards as the country formalizes oversight of digital-asset platforms.

The latest developments involving Binance follow the creation of the Pakistan Crypto Council and the Virtual Assets Regulatory Authority. Officials have also outlined plans for a central bank digital-currency pilot and a proposed Virtual Assets Act in 2025 – all of which has been aggressively plugged by Bilal on a hectic conference-speaking promotional schedule this year as his country competes with other jurisdictions to attract companies involved in the crypto trade.

The government said the Binance MoU reflects an assessment phase rather than a commitment to deploy tokenized sovereign assets.