Pakistan signed a Memorandum of Understanding with SC Financial Technologies, an affiliate of World Liberty Financial (WLF), to explore integrating WLF’s USD1 stablecoin into regulated digital payments.
The move seeks to channel USD1 within Pakistan’s regulatory architecture while the State Bank of Pakistan (SBP) and the Pakistan Virtual Asset Regulatory Authority (PVARA) assess compliance, operational design and consumer protections.
Under the MOU, Pakistani authorities will engage SC Financial Technologies on how USD1 could interoperate with national systems, the parties said. World Liberty Financial launched in septiembre de 2024 and rolled out USD1 around mar. de 2025; the token is presented as dollar-pegged and backed by U.S. Treasuries, dollars and other cash equivalents.
WLF has pursued multi-chain utility for USD1, integrating it with networks such as Tron and Solana, and it has applied for a U.S. federal banking charter to support issuance, redemption and custody functions, according to reporting. The stablecoin has also been deployed in large cross-border activity: an Abu Dhabi-based firm reportedly used USD1 for a $2 billion equity investment into Binance in may. 2025, a transaction that has drawn regulatory attention.
“We are excited to announce today that USD1 has been selected as the official stablecoin to close MGX’s $2 billion investment in Binance,” Witkoff said in an earlier statement announcing the Binance transaction, highlighting the token’s growing use in institutional settlement.
Regulatory, political and market implications
Pakistan’s engagement is framed by clear operational goals: bolster annual remittances that exceed $36 billion, reduce cash dependence and create a complementary layer to planned domestic digital currency projects. The SBP is slated to work with SC Financial Technologies to ensure any integration aligns with AML/KYC rules, redemption guarantees and financial-stability safeguards.
At the same time, the arrangement carries political friction. U.S. lawmakers — notably Senators Elizabeth Warren and Roger Merkley — have pressed for documents and scrutiny around WLF’s activities. A report from House Judiciary Committee Democrats described aspects of the Trump administration’s crypto dealings as a “corrupt crypto startup operation,” raising governance and conflict-of-interest questions that could influence cross-border acceptance and correspondent banking relationships.
Regulatory priorities identified in the MOU and surrounding coverage include mechanisms for PKR–USD–USD1 conversion, explicit AML/KYC protocols, consumer protections for redemptions and a clear delineation of institutional settlement versus retail use.
